In underwriting 2 years after rebounding from chapter 7 and student loan rehab

[MaddMatter70]

Wanted to drop a note here to let people going through the tough parts know there is hope, and to ask if anyone else was buying a home this month.  We are awaiting our final underwriting pass which should be done mid-late this upcoming week.

After rebuilding ourselves and structuring a sound budget we have encountered NO issues with going FHA so far, everything has been text book.  We found a house that puts our back end DTI at 26% so that is awesome.  I will say we have a high income, and I think that has greased the wheels a lot, I do not know how we would have done it without that but... following advice from this forum has been the real ticket.  Especially concerning the proper use of credit cards.

I will post again as soon as we get a clear to close for anyone interested

[MaddMatter70]

Does anyone know in Ohio when I have to have homeowners insurance?  I was told to get a binder and while I get the gist of it, I don't totally understand. I hate to lay out an extra 800-1200 bucks right now before closing.  Such a simple thing but worries and doubt keep creeping into my head

[StartingOver10]

You shouldn't have to pay out the first year to get a binder for insurance. Here the title company can collect at closing for payment for the first years' premium.

The bank needs the binder right away to process your loan. This is what is used to determine escrows and to make sure your insurance coverage is sufficient. It is like an interim contract to insure your property on beginning X date for Y amount with the coverage specified.  Speak to your insurance agent - you will need to give the agent your processors info because there is specific language that goes into the policy to cover the bank and they need that shown on the binder.

[MaddMatter70]

yes its the same here.  I guess all I needs the binder, but I need the for sure date first I guess

[StartingOver10]

Yes and no.

Use your projected closing date for now. If your date changes, you can change the insurance start date. Believe me, the insurance agents know that sometimes the closing happens a little early or a little later. Be as accurate as possible but there is a way to adjust the date.

[MaddMatter70]

Thanks

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We will do that I was affraid to sit on it any longer 

[MaddMatter70]

Ok have aquired two potential insurance binders, but then today lender called wifes work for employment verification....does that mean we are closer than I thought or further?  Loan guy said "last little thing I need".

This is after being told we were in the clear Friday btw.

[StartingOver10]

Closer to finishing

[JMMD]

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@MaddMatter70 wrote:

Wanted to drop a note here to let people going through the tough parts know there is hope, and to ask if anyone else was buying a home this month.  We are awaiting our final underwriting pass which should be done mid-late this upcoming week.

After rebuilding ourselves and structuring a sound budget we have encountered NO issues with going FHA so far, everything has been text book.  We found a house that puts our back end DTI at 26% so that is awesome.  I will say we have a high income, and I think that has greased the wheels a lot, I do not know how we would have done it without that but... following advice from this forum has been the real ticket.  Especially concerning the proper use of credit cards.

I will post again as soon as we get a clear to close for anyone interested

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This is so encouraging! We are 2 years out from discharge and a slight road bump with husband's SL. We have been rebuilding with the hope to buy FHA soon..

[MaddMatter70]

Got the clear to close next week call today!!!!!!!!!  title company will call us for a date then we are homeowners