Maybe they've gotten it under control.  Whether or not is was the new 5405 or the old one, that's still an impressive turn around time.  What office did you send your return to?  I've also heard that the IRS hired 5000 the second half of last year and they plan to hire another 2000 this year, so maybe some of them are processing these returns:)  Either way, thanks for the post, that leaves me hopeful. ... View more

I may be wrong, but I think the only 100% finance options available right now are VA if you're a veteran and USDA if you and the property you want to buy qualify.  Otherwise you will need to check with your local housing authority to see if they offer some type of down payment assistance to help you.  You may have to be under a certain income level to qualify and they usually require you to take some sort of class(es) before giving you the assistance. ... View more

I closed today:)  Got my rate, got my seller concessions, got the house of my dreams.  Thank you to everyone for their input and advice.  If you have poor credit, do not give up, you can become a homeowner.  Hard work discipline and leaving beneath my means took me from BK to homeownership in a little over 2 years.  If I can do it, anyone can. ... View more

Currently it is 6%, but FHA announced in a press release in January that they intended to reduce the limit to 3%, but there was no date given for when that would begin but it did say "early summer"  whatever that means   http://portal.hud.gov/portal/page/portal/HUD/press/press_releases_media_advisories/2010/HUDNo.10-016 Message Edited by XAVIERSMAMA on 02-04-2010 02:22 PM Message Edited by XAVIERSMAMA on 02-04-2010 02:25 PM ... View more

I'm expecting a refund but I am going to wait until after I purchase and file it all at once.  I don't think anyone really knows which is better, it could be that the process is more streamlined and quicker if you do it all together versus filing an amendment later.  Who knows,  it's too soon to tell how long the wait will be because they just started allowing those who purchased in 2009 to claim the credit.  It all depends on your personal situation and whether the money you are getting back outside of the credit is earmarked for something you need to do in the very near future. ... View more

The UW doesn't care whether or not the SOL has passed.  They just want to know the circumstances surrounding why it happened in the first place, and how your situation is different now so that it will not happen in the future.  These don't have to be long drawn out statements, I had to write a similar one regarding my BK and the letter ended up being all of 3 sentences and it was perfectly sufficient. ... View more

Congratulations:)   ... View more

I had to pay for my appraisal upfront, some lenders will do it for free, some require it upfront and some expect you to pay it with the rest of your closing costs.  Is the new lender asking you to pay for the appraisal to be transferred to them or is the old lender requesting you pay for the appraisal?  Either way I'm sure it's in the mortgage application that you signed who is responsible for the appraisal fee. ... View more

You're right kdoggflog01, the article says nothing about a timeline, I'm making an estimate based off of the fact the IRS states an average paper return that is complete and accurate can take 6-8 weeks to process once they receive it.  My thoughts are that with the scrutiny of the past fraud involved with this credit, they might take longer to scrutinize and verify all the info that has been submitted.  And I should have stated 4-6 months after you purchase not file.  My point was not to count on this money for something you need to have right away regarding your home purchase, that's all. ... View more

The time off from work is going to need to be thoroughly explained.  Everything else in your file will probably need to be flawless, even for an FHA.  Even with FHA the lending standards are getting stricter.  I would go and sit down with an actual mortgage loan officer at your bank or credit union and show them everything you have and get their input.  The only time off you're really allowed to take in the previous 2 years is school for training in a field that you are currently employed in and for recurring periods of unemployment that you can document are a pattern i.e. you work at a manufacturing plant that always closes for the month of January etc.   ... View more

Sooo....   I got a call from my agent today and the bank had a change of heart(lol) and decided that they would be willing to offer $3000 towards my closing cost and accept the appraised value.  Shot an email to my lender and guess what?  Due to market conditions they have a new mortgage program and they are now processing loans for less than $100000 with the same 4.5% rate I had previously locked.  I will have to pay my own points due to the loss in seller concessions but with the lower sale price and the lower down payment I can swing it. It looks like I'm going to get my house??  I use the question mark because I know better than to celebrate too early.  I'll keep you posted. ... View more

As long as the CC reports to the bureaus it should be good for an increase.  I've heard that not all cards report AU's though. ... View more

I agree with a lot that the previous poster's stated.  It seems like you have some assets and some downsizing that you could do before you filed as a last resort.  If your goal is to avoid BK, downsize as much as you possible can, but if after that you still can't stop digging, and you're putting in a lot of $ and effort and still not getting any closer to getting out of the hole, unfortunately BK may be your only option.  The thing about BK is the sooner you file, the sooner you can begin the repair.  In my experience I wasted a good year and a half trying to catch up and dig myself out, hoping it would get better and instead it only got worse.  I'm two years out now and am rebuilding my credit and hopefully will close on my first house in the next few months.  My only regret about the BK was that I didn't just accept my circumstances and file sooner, so that I could be further into my rebuilding, but only you can make the decision on when to say when.  Good luck to you. ... View more

Also to piggyback on to what Mickie said, you really need to make sure you're ready.  Once you get your credit scores where are you in terms of down payment and reserves?  Even with an FHA I'm looking at about $7000-8000 in closing costs without any seller's assistance and this is on a $100000-140000 loan.  So much more than the credit score determines whether you'll qualify before the tax credit expires. ... View more

It's actually $2000 more out of pocket upfront for closing, and $50 more per month in the payment so the deal is definitely not good for me.  Back to square one:) Message Edited by XAVIERSMAMA on 01-06-2010 01:31 PM ... View more

I hear you gigi5, it's because the loan will be for less than $100000 and whenever they are lower the fees and the rates are higher.  I guess I'll have to keep looking. ... View more

The seller was contributing $6000 to closing costs, now with the lower appraisal they won't contribute anything.  The 4.5 rate was with a one point buy down.  I'm waiting for the LO to send me a breakdown to see how the new figures add up and whether the 5.7% includes a point or not.   ... View more

Apparently the rates are higher on smaller loans, it still seems like quite a jump though.  I locked my rate on 12/28 so it hasn't expired yet.  The funny thing is, with the newer rate, my payment would be $50 more per month, even though the house is $20000 less.  Hilarious right?  I think I have no choice but to keep looking.  What does it say about the state of things when I have to purchase a more expensive house, to save money? ... View more

So the bank came back and will accept the appraisal price with no concessions.  My lender said to do the loan my rate would change from the 4.5% I had locked to 5.7%!?!?!  Is this a bait and switch.  I still will have to come up with the same amount of $ to close, and the sales price is lower, so why is my rate so high now?  I don't know what to do. ... View more

Just as many other posters have stated, you are going to need some reserves beyond the 3.5% down.  You can ask for closing costs but the seller can't pay more than 6% of your total closing costs and as Mickie stated the trend is now that sellers aren't paying as much in closing as they once were.  Depending on the market you're in and the competition, you might have to pay all your closing costs, and all your own FHA required repairs if you want to get the house especially if you are dealing with foreclosures or short sales. ... View more

It depends on what contingencies were stipulated in the contract.  FHA may require a particular repair to be completed before they will insure the loan, but it's between the buyer and the seller who has to pay to get it done.  How much is the repair?  If it's substantial it can be used to further negotiate the price or seller concessions, but again it's really between the buyer and seller to work out a deal.  Your son will probably be able to use the inspection contingency or the financing contingency to get out of the deal if he doesn't want to pay for the repair and the seller won't either. ... View more

Here's the latest, appraisal came back at $104000, $16000 less than my offer, but almost exactly where I thought the price would be.  Still waiting for the bank(seller) to see what they will do.  Their agent said they wouldn't fight the appraisal so I have to wait and see whether that's true or not.  Keep sending out your good thoughts.  I want this rollercoaster ride to be over and move into my new house already. ... View more

In my experience it made the dispute process faster. All they need is the list of creditors and the final page saying when it was discharged. ... View more

Most of these loans come from your state or local housing authorities.  Check with your city or county's housing authority to see whether they provide this type of loans.  I could be wrong but I think these bridge loans are for FHA loans, so if you are going conventional you might not be able to use this for down payment. ... View more

Bank accepted my offer:)  On to the inspection and appraisal which ,I've noticed from this board, seems to be the most eventful part of the process. ... View more

He sent over the comps with the offer, and the bank's agent and my agent are in agreement that it probably won't appraise for the asking, but I guess the bank has to meet some magic number.  I'll have to wait and see what happens.  I actually don't mind paying the asking price, but I won't be able to afford the difference between what it appraises for versus what the asking price is.  The comps in this neighborhood, literally next door and across the street are 200-500 square feet larger, have the high end finishes in the kitchen, and closed within the last two months at $105000, $108500, and $10900 minus any seller concessions.  ... View more

So the bank was asking $124900, I offered $119000 with $6500 seller closing cost, they countered with $119000 and $5500 seller closing.  My lender says I need $6500 closing so I countered with $120000 and $6500 seller closing cost.  This all seems pretty silly to me at this point, it all means the same thing moneywise in the end, but I guess it must look different on their balance sheet or something.  The banks agent did tell my agent though that if the appraisal doesn't come in that high, they won't fight it and they will move down, so what exactly is the point of all this?  Please send out your good thoughts and wishes, I love this house.  I'll keep you updated. ... View more

I guess you could try to get some recourse from Equifax, but I don't think it will go anywhere.  Credit reports have errors on them all the time, and generally it's been left as the individual's responsibility to check their reports for inaccuracies and correct them.  Yes Equifax should have closed the dispute, but you could also say that your mortgage company didn't need to pull so many times to check for the dispute removal.  I'm wondering if the hard pulls are the only reason your score dropped.  Is there any maneuvering you can do with CC balances to lower your util, do a rapid rescore maybe get the points back before you close? Unfortunately I think you're between a rock and a hard place without much recourse, but I could be wrong. ... View more