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Help!! First Time Homebuyer-- Applied for FHA-- need advice/insight please :)

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spaulo
Member

Help!! First Time Homebuyer-- Applied for FHA-- need advice/insight please :)

Hi all,

First time posting on here and here’s my story—

 

My Fiancé and I just submitted an application for an FHA loan.

We are first time home buyers—house cost is $239000. 3.5% down payment- $8365- ( will be coming from my roth ira- $5400 and $3235 with $2K in closing costs coming from savings). Fico scores are as follows—mine is 724 his is 770. Our front end DTI is 24% back end DTI is right at 44%. He has a car loan that will be paid off in 6 months and then the DTI will reduce to under 41%.

 

Here are my questions.. Our loan officer sent us the application for signatures and review of any corrections. On mine she put I had 40K in my checking account but did not list my 401k or my Roth ira as assets. I corrected it by stating I have $6700 in my savings and $7100 in Roth and $23K in my 401k.

 

I am not sure why she posted 40K the way she did.. any ideas?

 

Another question is do we have a good chance of being approved to close?

 

Also, my fiancée just received a promotion effective 04/15/13 with a raise in income.

Currently our monthly gross is $7360 currently. With the new income on his end it will rise $7760.

 

The monthly mortgage will be $1802. ( includes PMI, HOA , taxes everything).

 

Debts are for me $605 – for him $795 a month.

 

What are our chances of getting approved for the loan?

Wouldn’t I be able to note on the loan application that my Roth IRA and 401k is a liquid assets as well as my savings and checking is?

 

 

Let me know your thoughts thanks! J

Message 1 of 7
6 REPLIES 6
fdiggy
New Contributor

Re: Help!! First Time Homebuyer-- Applied for FHA-- need advice/insight please :)

I would say easily a Yes. With high scores and reserves 44% will not be a problem. Lenders will fight for your loan. Dont accept anything below 3.25%.

 


Starting Score: 701
Current Score: EX-FICO701 EQ-FICO644 TU-FICO724 all lender pulls April 2nd 2013
Goal Score: 800


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Message 2 of 7
fdiggy
New Contributor

Re: Help!! First Time Homebuyer-- Applied for FHA-- need advice/insight please :)

95% the people on here wish they were in as good a position as you are. Stop teasing.

 


Starting Score: 701
Current Score: EX-FICO701 EQ-FICO644 TU-FICO724 all lender pulls April 2nd 2013
Goal Score: 800


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Message 3 of 7
spaulo
Member

Re: Help!! First Time Homebuyer-- Applied for FHA-- need advice/insight please :)

fdiggy,

Thank you for your response Smiley Happy

 

I actually was not teasing at all, I was wanting to get some type of idea if we would or not. Never purchased a home before so its all new to us.

Thank you Smiley Happy

 

Message 4 of 7
fdiggy
New Contributor

Re: Help!! First Time Homebuyer-- Applied for FHA-- need advice/insight please :)

You have no worries. 

With only 6 payments left he could pay off the car. That would look even better.

Theres something about having scores over 640 and DTI underr 43% i think makes it an auto approval pretty much.

I think scores over 720 with 5% down can also go conventional. I may be wrong.

I would look into paying off that car and looking into a 15 year loan. Get a rate near 2.6% and PMI is only 0.25% of the loan with 10% down.

The money you save on PMI makes it not much more monthly to own in half the time.

 

 

 


Starting Score: 701
Current Score: EX-FICO701 EQ-FICO644 TU-FICO724 all lender pulls April 2nd 2013
Goal Score: 800


Take the myFICO Fitness Challenge
Message 5 of 7
Billybob_TX
Frequent Contributor

Re: Help!! First Time Homebuyer-- Applied for FHA-- need advice/insight please :)

You are good to go. Congrats!

Message 6 of 7
boomhower
Valued Contributor

Re: Help!! First Time Homebuyer-- Applied for FHA-- need advice/insight please :)

Your fine.  I'd also run the number on a conventional as well.  Most lender will accept two check stubs and count the higher income.

Message 7 of 7
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