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MovingForward_2012
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Re: Filed 2011 2012 tax returns closing March26th


vinylpalooza wrote:

Nope, i cant take another 6 months in Oregon. I have to find a way to make it happen. Finding that house and getting it down was a hard enough job to quit.

I was wondering what would filling my credit cards up to pay it do for me. Its about $8,000. 


It's going to bring your score down, significantly, because of high utilization as possibly lower the max home price you can afford.  Do you have a retirement account you can draw from?

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vinylpalooza
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Re: Filed 2011 2012 tax returns closing March26th

Maybe theres lenders out there who can add IR$ debt to a loan to cover IR$ debt.

Theres sure a market for it. They could charge a higher interest special mortgage plan.

 

Current scores: CK TU: 639, FICO EQ: 700, FICO TU: 707, FICO EX: 697 Lender pull 12/19/2012
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vinylpalooza
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Re: Filed 2011 2012 tax returns closing March26th

Hey maybe i can offer a one time payment of $10,000 to get square rather than go on a $50 month payment plan. I owe roughly $15,000.

 

Current scores: CK TU: 639, FICO EQ: 700, FICO TU: 707, FICO EX: 697 Lender pull 12/19/2012
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MovingForward_2012
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Re: Filed 2011 2012 tax returns closing March26th

Have you looked at programs that would provide downpayment assistance? This could free up money to pay the IRS. And then you would need to have enough left over for closing costs but it is possible to have the seller pay your closing costs or you can take a loan/withdrawal from 401K/IRA or accomplish BOTH items, which frees up money as reserves for emergencies..

I'm closing next week on a home for our family with a 3% percent downpayment CHFA (FHA insured) First/Second mortgage through our local housing authority. The builder is paying my closing costs so only the required 3% down is being rolled into a second mortgage but if needed, closing costs can be rolled into the second mortgage as well. I have taken a loan from my 401k just for reserves. So I would check on the types of programs offered through your housing authority that you may qualify possibly for.
Cards: Orchard Bank ($1100) | Cap1 Cash Rewards ($2500) | Chase Freedom ($1000) | Best Buy ($2500) | Discover It ($1000) | Barclay Rewards ($2500) | Current scores: EX FAKO: 684, CK TU: 649, FICO EQ: 680, FICO TU: 698, FICO EX: 658 Happy Homeowner Since 2/6/13! :smileyhappy: Last App: 4/5/13 Gardening until July 2014
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MovingForward_2012
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Re: Filed 2011 2012 tax returns closing March26th

Also if you could tell us your yearly income and the home price you are considering along with your current debts (total monthly payments required on your credit report), we can tell you whether or not taking a loan out to pay your taxes is feasible or not. How much total credit limit do you have?

This requirement that all taxes owed must be paid through 2012, did not apply to me. Is this a requirement just for self employed applicants? I still haven't even received my W2 to even be able to file yet and my loan went through underwriting just fine and I am currently waiting for clear to close, which should definitely be next week.

I have been on a payment plan with the IRS for 7 years now. This year's tax refund will pay off my 2005/2006 tax balance remaining.

Keep searching for avenues and provide us some more info so we can see if we can help.
Cards: Orchard Bank ($1100) | Cap1 Cash Rewards ($2500) | Chase Freedom ($1000) | Best Buy ($2500) | Discover It ($1000) | Barclay Rewards ($2500) | Current scores: EX FAKO: 684, CK TU: 649, FICO EQ: 680, FICO TU: 698, FICO EX: 658 Happy Homeowner Since 2/6/13! :smileyhappy: Last App: 4/5/13 Gardening until July 2014
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vinylpalooza
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Re: Filed 2011 2012 tax returns closing March26th

I have no 401K to draw from.

The house is $115,000

Income $29,000 annual

Property tax $1800 annual Insurance $1800 annual (sinkhole coverage)

I have an auto $235 month and $50 month in CC.

One though was pay off my car i owe $7500.

Then maybe i can get a personal loan to pay IR$.

 

Current scores: CK TU: 639, FICO EQ: 700, FICO TU: 707, FICO EX: 697 Lender pull 12/19/2012
Valued Contributor
MovingForward_2012
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Re: Filed 2011 2012 tax returns closing March26th

Unfortunately, given your income and home price you are considering, has maxed out your front end ratio so any new debts, such as an installment loan for your 2012 taxes will blowout the back end ratio if it isn't already blown with your current debts. Your finances are going to be tight in the home you are considering purchasing. Have you looked at houses around $87,000? That would free up some of your DTI for an installment loan.

I would really look into homes in a USDA qualifying area or search for downpayment grants. Putting some money down would free up some room on the back end for an installment loan. How much do you have saved for a downpayment and closing costs?
Cards: Orchard Bank ($1100) | Cap1 Cash Rewards ($2500) | Chase Freedom ($1000) | Best Buy ($2500) | Discover It ($1000) | Barclay Rewards ($2500) | Current scores: EX FAKO: 684, CK TU: 649, FICO EQ: 680, FICO TU: 698, FICO EX: 658 Happy Homeowner Since 2/6/13! :smileyhappy: Last App: 4/5/13 Gardening until July 2014
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MovingForward_2012
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Registered: ‎12-19-2012
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Re: Filed 2011 2012 tax returns closing March26th

Paying off your car loan could also possibly free up some DTI for an installment loan.

I know some folks here have had collections satisfied at closing by rolling the debt into the loan. I don't know if this is possible for taxes or not but I would definitely discuss it with your LO to see if it is a possibility.
Cards: Orchard Bank ($1100) | Cap1 Cash Rewards ($2500) | Chase Freedom ($1000) | Best Buy ($2500) | Discover It ($1000) | Barclay Rewards ($2500) | Current scores: EX FAKO: 684, CK TU: 649, FICO EQ: 680, FICO TU: 698, FICO EX: 658 Happy Homeowner Since 2/6/13! :smileyhappy: Last App: 4/5/13 Gardening until July 2014
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vinylpalooza
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Re: Filed 2011 2012 tax returns closing March26th

I had $9,000 saved but the man is taking that and then some.

Im doing this for my 1st house and my Mother will be living with me. Cant add her because she is in a short sale and her credit is bad.

I was told i was OK on the DTI before the IR$ issues came up.

My Realtor says pay IR$ i should be fine.

 

Current scores: CK TU: 639, FICO EQ: 700, FICO TU: 707, FICO EX: 697 Lender pull 12/19/2012
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vinylpalooza
Posts: 32
Registered: ‎01-31-2013
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Re: Filed 2011 2012 tax returns closing March26th

Yeah that is what i was going to ask the LO if she ever calls me today. I wondered if they would add $10K to the mortgage.

 

Current scores: CK TU: 639, FICO EQ: 700, FICO TU: 707, FICO EX: 697 Lender pull 12/19/2012

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