<img height="1" width="1" style="display:none" src="https://www.facebook.com/tr?id=1955936548054264&amp;ev=PageView&amp;noscript=1">

Taking the Next Step: How to Prepare for Your No Score Loan

< Back to Articles | Time to Read: 5 minutes

Needing a no score loan is a good thing and something to be proud of! You’ve worked really hard to pay off your debt, but still need a way to make homeownership a reality. It’s a great problem to have! No score loans are available if you have reached the point of being debt free and your credit score has become obsolete.

While it’s true that getting a home loan without a FICO score can be more difficult, it’s not impossible.

In general, no credit score loans:

  • Require more documentation
  • Traditionally take longer to go through the typical underwriting process
  • May require a significant down payment, and require you to take precautions in the event the program is no longer available.

Despite these initial challenges, the end result of owning your home is well worth the extra time and effort. It's key to know that not every lender provides a manual underwriting service for no score (or zero score) loans, but at Churchill Mortgage we are experts at no score loans and provide manual underwriting on a regular basis  for our customers needing this service. Our goal is to not only help explain the home buying process in greater detail, but to also help you prepare and protect yourself accordingly.

Here’s what to do if you don’t have a credit score due to paying off debt but wish to purchase a home:

  • Make sure you have four alternative credit tradelines, with one being a rent or lease payment. Contact the creditors and get a letter from each of them on their letterhead showing your name, account number, and information stating your account has been "paid as agreed for the last 12 months." This is usually a good start, but further documentation could be required from the creditor.
  • Become a Churchill Certified Home Buyer before you start looking for a home. By going through this process, you’ll better understand the price range of the homes you can afford. This way you don’t get your hopes up and get emotionally attached to the home of your dreams, only to wait 45 days and find out you cannot get approved.

  • Work with an experienced real estate agent who can help you find a home that you love in your price range, help you negotiate the contract and can walk you through the home buying process.

Download Your Guide to No Score Loans


** For a 15 year loan, a $100,000 mortgage loan with a rate of 5.00% (APR 5.266%) and a 20% down payment ($25,000) on a purchase price of $125,000 would have a monthly payment of $790.78.* Important Notices: The interest rates, annual percentage rates (APRs), discount points and rebates shown are subject to change without notice. The monthly payment amount shown includes principal, interest and mortgage insurance only. Your actual monthly payment will be higher if an escrow/impound account is established or required. Your APR will vary based on your final loan amount and finance charges. Stated rates and terms intended as examples only. Call 888.562.6200 for current rates and terms.
The Churchill Certified Home Buyer program is not a commitment to lend funds and is not an approval but is a conditional approval subject to your acceptance of the terms and the conditions being fully satisfied prior to closing. All conditions are subject to final underwriting and final investor approval. The certification is subject to the financial status and credit report(s) of everyone on the application remaining substantially the same until closing, an acceptable contract of sale on a suitable property, collateral (the appraisal, title, survey, condition, and insurance) satisfies the requirements of the lender and loan selected is still available in the market. All closing conditions of the lender must be satisfied including the clear transfer of the title, acceptable and adequate title and hazard insurance, flood certification, and any inspections that are required by the real estate contract.

Are you buying a home or refinancing?

Where are you planning to buy a home?

Please Select a State

What is your full name?

Please Enter a Name
Please Enter a Last Name

What is your email address?

Please Enter a Valid Email Address
  We won't share your information.

Next, we need to verify a phone number.

Enter a Valid Phone Number
Please Select a Message Type

Enter your phone number and we'll text you a 6-digit security code to verify it's you. Standard texting and data rates may apply. For more information, read our Privacy Policy.

Enter the 6-digit code sent to your device.

 Code sent to +1234567890

Finally, how did you hear about us?

Please Select an Option

By submitting this form, I/we agree to your Privacy Policy Terms of Use and authorize Churchill Mortgage Corporation and/or their Preferred Provider for our area and/or The Churchill Agency to receive the above information to assist in obtaining a home loan.

I/we also authorize Churchill Mortgage Corporation, The Churchill Agency and/or their Preferred Provider for our area to contact us regarding but not limited to mortgage and insurance services and products via telephone, mobile phone (including through automated dialing), and/or email, even if telephone numbers or email I/we provide are on any Do Not Call/Contact Registry, such as corporate, state, or the National Do Not Call Registry. The submission of this form does not constitute in any way a formal loan application or a commitment for a loan. By communicating with us by phone, you consent to calls being recorded and monitored. By participating, you consent to receive text messages sent by an automatic telephone dialing system. Consent to these terms is not a condition of purchase.

Your answer will NOT negatively affect your mortgage application. Your answer does not mean the Lender or Other Loan Participants agree to communicate or provide documents to you in your preferred language. However, it may let them assist you or direct you to persons who can assist you. Language assistance and resources may be available through housing counseling agencies approved by the U.S. Department of Housing and Urban Development. To find a housing counseling agency, contact one of the following Federal government agencies. U.S. Department of Housing and Urban Development (HUD) at (800)569-4287 or www.hud.gov/counseling

Es probable que su transacción de préstamo hipotecario suceda en inglés. Por medio de esta pregunta, solicitamos información para determinar si existen comunicaciones disponibles a su servicio, en su idioma preferido. Sírvase tener en cuenta: posiblemente NO hay comunicaciones disponibles en su idioma preferido.

Thank You!

Thank you for choosing Churchill Mortgage to help you with your home loan needs!

Our team is already hard at work connecting you with your Home Loan Specialist. Rest assured that we've received your request and will be in touch with you shortly.

social proof logos

Already working with someone at Churchill?

Find Your Home Loan Specialist

Please Select a Loan Officer