04-30-2012 10:32 PM - edited 04-30-2012 11:40 PM
Hello all, been reading some posts and looks like there are some well informed people here so I decided to post my situation and ask for any advice. Well here goes. I am currently trying to buy my first home, I wanted to go with an FHA loan however I have only filed 1 w2 (2011). I would need to wait until next year and file my 2012 w2 if I wanted to go FHA, unfortunately due to my living circumstances, I can't wait that long and I'll need to find a place asap. I also don't want to dig into my savings to pay for an apartment for a year. So my loan consultant(if you want to call him that) told me that I have a couple of options, 1 of which is the route I'm going to try. He told me to find a cosigner who has steady income and steady proof of employment, so I asked my brother and he agreed. So here is our information for anyone that can give me a basic idea if we qualify for conventional or investment property loan, or if we can even get a loan in the range I'm hoping for (170-180) also we are prepared to put down at least 20% if need be. So a quick overview, my problem is I have only filed 1 w2 and my 2011 income is only 26k, although my 2012 income is on pace for 35-40k with bank statements to prove weekly deposits. My brothers problem is he already has a mortgage and his credit score is not good. Anybody have a similar circumstance, any idea if any banks will be willing to work with us?? Any advice or information is greatly appreciated, thanks!
2011 w2 : 26k income
Credit Score : 715
Savings : 93k
Monthly Debt: 0
2010 w2 : 80k income
2011 w2 : 50k income
Credit Score : 625
Savings : 30k
Monthly debt : 1600 mortgage (currently owes 50k)
05-01-2012 03:56 AM
Were you in school before you got the job? If so you don't need two years of W2's, just the transcripts.
You do have a couple issues. How much are you wanting to put down? To get that loan amount you are going to have to use a pretty big chunk of that $90k to get it in line with DTI. Your brother credit will be an issue with a lot of lenders, they want a 640 score. I have run the number but DTI could be an issue there as well. Does he have any other debts? Do you know what his derogs are and when they are?
05-01-2012 04:40 AM
You won't be able to get financing without 2 years of W-2, unless you were in school and can prove it.
(Had a similar problem, with my wife not having 2 W-2, bottom line is... I ended up getting the loan on my name only)
05-01-2012 11:54 AM
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