August 2016 closers!

[Anonymous]

Oh no!! That's so frustrating. You'd think your LO would know the ratios and could've made sure your file met them before now. GEEZ!

Now I'm even more scared. Clearly silence doesn't mean good news. The only thing I can think of is an issue with my child support because my ex has been paying for eight years but often pays a portion of it cash. He has a tuition payment added in that he tends to pay in cash whereas the rest is all by bank transfer. Because he's unreliable on the day he pays (but has never been more than one week late in eight years) and the cash thing is annoying, I filed for state enforcement in early July so it'll all be paid to me regularly and via direct deposit. That paperwork from the state shows that he has nothing past due, which I'm hoping helps make up for partial cash I can't prove, but I'm not sure it will.

If that doesn't work, I'm hoping they'll decide to use my self employment income after all. I've been doing it 1.5 years and they threw it out initially because I only have 1 year of taxes showing it but everything online says they can take it with 1. I also made nearly double last year so far this year. That income more than makes up for the money my ex pays cash/can't be traced easily. Like, it's 2-3 times more, all paid by direct deposit from large companies (I freelance).

So here's hoping the delay is the LO and UW just trying to put my mess together instead of an upcoming denial.

[Anonymous]

Wow that sounds complicated lol. I don't see why they couldn't use your self employment income as long as everything is well documented and you do have a tax return for it. So hopefully they're just trying to put your stuff together.

In our case, my LO was trying to figure out whatever he could with the USDA underwriter and then when that failed, he put together the FHA plan before calling me. He explained that he didn't contact us right away because he wanted to have a plan to pitch to us without just calling and stating the problem. At least we have a solution but if this all goes through like he said, we'll be sitting on the floor and eating ramen our first few weeks after moving in. But at least w'll be homeowners lol.

[Anonymous]

USDA is tighter with their front end/back end DTI since it is 100% financing- 29/41. All info that the lenders access and homebuying guides are available at Rd.usda.gov. Everyone who is considering a USDA loan should read all this information.

[Anonymous]

It should be simple, but trying to prove cash isn't. I hope they just accept my self-employment so the whole issue goes away. If that's even the issue lol. But the LO told my realtor they were having issues proving something so I think that must be it.

The rest of my file is simple. Student loans were discharged by disability, no CCs with balanced, a few collections they already said I'll have to pay at close. No way ratios can be an issue for me, so it's got to be income.

I'm sure my silence is also coming from them trying to work something out. Just praying they can!! And soon!! FX for all of us.

[Anonymous]

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@Anonymous wrote:
USDA is tighter with their front end/back end DTI since it is 100% financing- 29/41. All info that the lenders access and homebuying guides are available at Rd.usda.gov. Everyone who is considering a USDA loan should read all this information.

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Yea that's what our lender told us. The difference in our front end DTI is literally less than $100 worth of monthly payment. We read all the info I could possibly find including their lender training and guides. We read a lot about compensating factors but I guess those only apply to back end DTI? Our back end is only 40% but front end is 30%. It sucks to have to change the loan and push back closing for at least an additional week for 1%. 

[Anonymous]

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@Anonymous wrote:

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@Anonymous wrote:
USDA is tighter with their front end/back end DTI since it is 100% financing- 29/41. All info that the lenders access and homebuying guides are available at Rd.usda.gov. Everyone who is considering a USDA loan should read all this information.

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Yea that's what our lender told us. The difference in our front end DTI is literally less than $100 worth of monthly payment. We read all the info I could possibly find including their lender training and guides. We read a lot about compensating factors but I guess those only apply to back end DTI? Our back end is only 40% but front end is 30%. It sucks to have to change the loan and push back closing for at least an additional week for 1%. 

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That's seriously not cool. I hope it works out for you.

[Anonymous]

Well it wouldn't be that bad if it didn't add 2 big worries. #1 is closing time. The LO said it should only take ad additional week from the initial closing date. Everything was on time to date so at least we aren't already behind and then throwing this at the seller as well. #2 is it is going to cost at least another $2500 up front. So there goes any new furniture buying or anything like that for a couple months. If we get anymore costly surprises though, this deal will die and we'll have to find another house.

[Onmygo]

We're closing on 8-26-16, but we're still waiting anxiously for our CTC. This has been 2 year process from repairing our credit to finding a lender then after 8 offers we finally caught a break in our dream Los Angeles neighborhood, hoping the new Rams Stadium will increase the property value. Having said all that, it's all bitter sweet, there's a tenant in the house that has until 9/10 to move out. I'm praying she's gone sooner that that.....

[Anonymous]

That is absolutely nerve wracking. I hope it works out with the change over to FHA and I know funds will be tight but hopefully you can get the home you wanted and it will be worth it in the end. Best of luck to you!