Mortgage Loans

[adonis2011]

My husband and I have been working SUPER hard on our credit scores. We started anew construction build on a home about 4 months ago. The home is finished as of Friday. We submitted our file to Wells Fargo for a VA loan and we thought we would get an approval today or tomorrow. I called our LO and was told the builder took us off of the contract because they did not have a pre-approval.
I was lost and confused because we had no idea we needed a pre approval. Our file was submitted to UW Friday just to find out now we have to resign paperwork with no address attached. If we get the approval we can be listed back on contract for the home we built and close. We're so nervous now with this new development. Wells requires a. 600 for VA and my husband is at a 618 and I'm at a 605.
Any words of encouragement would be great. We thought we would get good news that we are approved, and now we have learned we have to resign documents, wait for UW with the hopes the house is still available!

[MrChairman]

I'm confused as to how you even signed a contract on a property without at least a preapproval. Most builders won't even show you the paperwork without one.

[adonis2011]

I have no idea. We put $2000 earnest money down and was told we needed to work with their lender... So we did. The first lender denied us saying they needed a 640 for a VA loan. I knew WF could do it at a 600. The builder said WF is also their preferred lender, and was referred to work with one of their LO. Our file was submitted to UW last week, today I find out we are no longer under contract because of not being pre approved. Builders will allow you to build (or at least we've found) with just earnest money down.

[MrChairman]

NVR wouldn't let us sign a contract until we were pre approved with their lender or an outside lender with or without earnest money.

[adonis2011]

Oh I see. We signed a contract when we started the build. We're finally at score requirement and we're back at square one. The house may still be avail when/ if we get approval... If so they 'll put us back on contract

[adonis2011]

Not to mention we have to wait another week going through UW.

[Readyforchange]

I am surprised you only need a 600 to qualify for VA loan through WF. I called them last week and was told min score needed to be 620.

[adonis2011]

Really? I was told by several different LOs that WF requires a 600.

[tooleman694]

What does your realtor say about the contract. I would be sending your realtor over to talk to them like right now.

[adonis2011]

We weren't using a realtor. We worked directly with the sales rep for the builder. She failed to tell us we were being removed from the contract. It's all a huge mess.