So here's the deal. My husband and I decided it was time to stop renting and buy a house. We contacted our Realtor who is a family friend for advice. She gave us the name of the Loan Officer for her agency and said they work with scores down to 580. We have a 611 so I figured wed be golden. My husband makes 50k a year and we pay 167 to student loans and credit cards every month so low DTI (we paid off our cars)and we have $5000 down. I won't be on the loan, I defaulted on a student loan a while ago and am repaying it plus I'm a stay at home mom so no income. We started the preapproval process and didn't hear anything for two weeks. We finally got an email saying it had to be sent to the manual underwriter and it was denied because 8 months ago we had a 90 late payment on a student loan which is broke up into three small loans, so we have 3 90 day late payments. She said you have to be clean for 12months for FHA loans. That is the only late on the credit report in twelve months. We've emailed her back with questions and attempted to call her but she's useless and doesn't care enough to get back to us. My question to you guys is is there any point in going to a different loan officer and trying to get approved or is this clean for 12 months a universal regulation? We decided not to resign our lease before we got denied because we are throwing away $1300/month and to resign a 6 month lease he wants another $100/month. My husbands parents offered to have us move in for a few months till it hits the 12 month mark. But can anyone reassure me that well be okay in 4 months? Because if it's going to hinder the process in 4 months we may as well resign the year lease I do not want to live with his parents for a year or more. Any and all advice would be great. Like I said I wish I could ask our LO but she's ignoring us.
