cancel
Showing results for 
Search instead for 
Did you mean: 

Discouraged and need to be encouraged........*sighs

tag
jamevfan
Frequent Contributor

Discouraged and need to be encouraged........*sighs

Hello all I have just went through the most disappointing process and I am hurt but yet hopeful, I was told by the loan officer the builder reffered me to that I may have a chance of getting appoved for a pre approval so the builder can start the building process with a 602 middle score with the condition that by the time they finish building my score would be at a 620 so that we could close. Needless to say we were so excited and looking forward to the building process when she called me late last night saying they declined they deal, I paid a 75.00 application fee and wasted alot of time, should the loan officer have known whether or not they deal would go through? I have had lates in Jan or this yr and I kind of knew that it would be a slim chance but she made it seem like I would be approved so i went with it, she said she wanted to see if she could get it approved manually because the automated sytem would have just kicked it back. ugh im so aggravated, but I think I will wqait for my score to get up to 620 so i can choose who Ide like to go with, anyone know of any good banks who will go for lates in the past 6 months, i have tried to get them off but it look grim. Pls help! 
Current Ficos as of 01/2017 Equifax 640, Transunion 690 Experian 690 Mortgage middle score of 677
Message 1 of 5
4 REPLIES 4
Anonymous
Not applicable

Re: Discouraged and need to be encouraged........*sighs

most lenders are going to require 620 and 12 months clean credit.  Your LO was being overly hopefuly.  One or two lates with a solid explanation can be overcome but usually they are going to want some reserves, high FICO, low DTI, and/ or high down payment to do so (probably at least two of these).  Just keep working on the scores and get them up.  Possibly (assuming you are up to date right now) attemp to GW the lates for removal.  There is no guarantee they will but with a well written story it is possible.
Message 2 of 5
Lel
Moderator Emeritus

Re: Discouraged and need to be encouraged........*sighs


jamevfan wrote:
Hello all I have just went through the most disappointing process and I am hurt but yet hopeful, I was told by the loan officer the builder reffered me to that I may have a chance of getting appoved for a pre approval so the builder can start the building process with a 602 middle score with the condition that by the time they finish building my score would be at a 620 so that we could close. Needless to say we were so excited and looking forward to the building process when she called me late last night saying they declined they deal, I paid a 75.00 application fee and wasted alot of time, should the loan officer have known whether or not they deal would go through? I have had lates in Jan or this yr and I kind of knew that it would be a slim chance but she made it seem like I would be approved so i went with it, she said she wanted to see if she could get it approved manually because the automated sytem would have just kicked it back. ugh im so aggravated, but I think I will wqait for my score to get up to 620 so i can choose who Ide like to go with, anyone know of any good banks who will go for lates in the past 6 months, i have tried to get them off but it look grim. Pls help! 

Fortunately, you are only out $75 and your time.  It could have been worse - you could have lost that $1000 in earnest money that the builder was trying to extract from you.

 

As had been mentioned on your other threads, it does not sound like that LO ever had your best interests in mind.  You were told conflicting information, and no reputable LO would have promised the things that you were told.

 

I know you felt under the gun to buy a home to take advantage of the tax credit, but the reality of the situation is that you need to rebuild your credit first, and then shop for homes later.  Even people with good credit are having trouble securing mortgages. 

Message 3 of 5
Anonymous
Not applicable

Re: Discouraged and need to be encouraged........*sighs

I'm building a home and was in a similar situation. I had a mid score of 606 and my wife has outstanding credit. Our LO thought we might be able to get approval with an add on saying that pending my score increasing by the time credit was repulled again a month later. Well he said he'd talk to his branch manager or so he said, but in the end he never got back to us. Well, July is here now and my mid score is now well into the 630s. Only problem I'm having now is trying to get a hold of my LO so he'll run my scores again. If you really like the idea of building a home I'm sure they'd be willing to hold your site pending your score increase. Make sure that if you sign a purchase agreement it has wording stating that you will receive your money back if you are eventually not approved prior to building. Best of luck and keep us updated on what goes on.
Message 4 of 5
jamevfan
Frequent Contributor

Re: Discouraged and need to be encouraged........*sighs

Oh most definiatley I will keep you updated, i have been around reading threads and now I have graduated to posting on the threads because home ownership Is right around the corner, I can look at it in a positive way or be a sour puss about the whole situation. at least some progress is being made.The builder gave me a program called NACA which is a grant program who walks you through the loan process and pays all your closing costs and fees for those with challenged credit below the minimun 620, I have already signed up and am looking forwards to the process,I will not give up!
Current Ficos as of 01/2017 Equifax 640, Transunion 690 Experian 690 Mortgage middle score of 677
Message 5 of 5
Advertiser Disclosure: The offers that appear on this site are from third party advertisers from whom FICO receives compensation.