I understand. If you can't get approved for much under FHA which is pretty liberal, I can't imagine many owners wanting to take that risk. Also, properties under the 250K range are pretty selling quickly.

You need to review your credit report. Go to www.annualcreditreport.com and get your free reports. Review why your score is where it is and work to increase your credit score. Ensure your monthly payments are made timely and work to reduce any balances below 50% of the credit limit. If you have any collections/judgements/tax liens, be sure to get those addressed.

There are a LOT of scams with rent to own or owner financing. Be VERY careful. You may want to work on improving your credit first.

Yes my credit score is low 550 i think. I am looking for owner financed homes because I thought that would be easier to get. I have $10,000 down payment. If I get FHA, I will not get approved for much if anything.

Also, why are you looking for owner financing? Is your credit damaged. I have lenders that will work with credit scores down to 580 for FHA and 5% down conventional. If you can go a bit further out and credit scores are good, USDA is offering 100% financing. Depending upon your situation, there may be other programs including those available through the County to assist with down payment and closing costs.

You can look on Craigslist but they rarely come available and only favor the seller. As for Owner financed, consult an attorney before doing so. The advantage of owner financing for the seller is that they can legally begin foreclosure proceedings immediately after a first missed payment where larger lenders will not. BE CAREFUL!!!

Does anyone know of any rent to own or owner financed homes in Germantown, MD?