Ok, so we have been waiting (we knew there was going to be wait) for a little over two months now. We put the offer in a short sale back in May. The seller accepted, we did the inspection, get the mortgage commitment letter and now we are waiting on the banks answer (which is BOA). We fell like we are being jerked around. The sellers agent repeatedly asks us to get an appraisal, our lawyer has tried for two weeks to get a hold of the sellers attorney with apparently no luck. So like many others, here we are. The house was listed at $350,000, because of the location, lot size and school system, we offered $359,000 with $10,000 sellers concessions (basically full price). It's worth it and didn't want to get into a bidding war. Our laywer thinks we could back out with no issues, but the contract states it could take up to 90 days to get a response from the bank.
Fast forward to last week, we started looking around again for other homes. We found one we actually like better, one town over. It's bigger, one extra bedroom, needs nothing but a little updating here and there. The list price is $419,000 and the home owner stated to their agent that they are in no hurry to sell, but would like to move before school starts in September.
The problem is: My wife is doing the mortgage solely as I am on unemployment ($2,200 a month) and my income cannot be considered. We have almost zero debt, except one credit card with $4400 on it and two school loans at $200 a month (all wifes obviously). She makes $88K a year plus over time. With the DTI ratio, does anyone think we could be approved for $400K or so? Our LO office is out until Monday and will run the numbers then, but I can't wait..lol. What would be a good offer with seller's concessions?
Starting Score: 454
Yeah sorry, I should have stated it would be an FHA loan Shane...what do you think?