03-28-2010 06:19 PM
We preapproved at $180,000 back in November of 2009 when we started the process on our short sale. Since then, I've stepped down to another position in my company and our new amount was $140-$145,000, but the lender based this on me working 40 hours a week. Since it is our slow season, I have only been averaging about 35 hours a week. The final accepted offer on the home is $145,000 and the seller is paying 3% closing costs. Our gross income for the month is approximately $3000 per month. We have $325/month payments for car, student loan, and minimum credit card payments. Taxes on the home is about $2500.00 annually, there is no HOA, and insurance is looking like $1000 annual premium.
Based on our calculations of the percentage recently advised to us (41% debt to income), we do not approve for the amount we were preapproved for. I'm horribly worried that we won't actually approve for the loan we were preapproved for.
Also, here at the last week of March, we have asked how long it may take for our loan to be approved or not, we have gotten all different answers. The lender says it will take 2 weeks for underwriting and then has to go to Chase to be approved by USDA, then she says we should be able to close by April 8th (a week and a half away), then she said the whole process can take 45 - 60 days, but only locked our rate in until April 29th (30 days away).
I feel it's too late to change lenders at this point, but I don't know what to expect. We have already signed our lease termination based on her original information of us being able to close the second week of April (our lease ends April 15th), but now we're worried we could be homeless until May or longer. On top of this, the USDA will apparently be out of funds by the end of April!
Any kind of consistant input would be helpful at this point. Thank you all so much!
03-29-2010 07:32 AM
Can't say but from my experience it is a long process. I'm also going USDA it has taken 45 days just to go through loan processing and I don't even know if my loan has gone to USDA yet as my LO has no clue with the UW is doing with the loan package.
Sorta in the same boat as you..
03-29-2010 08:18 AM
I just closed on a house with a USDA Guaranteed loan and the process couldn't have been easier. I think your process is totally dependent on you and your LO. If they have everything together, it should go smoothly. Mine was spot on with everything she told me. I went with a local mortgage company, not one of the large banks or large companies. My file was completely underwritten in 2-3 days, with the only additional information needed being proof that the earnest money deposit check cleared the bank.
Once I submitted that and the filed was approved, it went to the USDA office. That took 3 days. It went in late on a Wednesday, and we got approval on Monday. This part does matter on which state your are purchasing in. Washington State USDA was backed up 6-8 weeks in early January. February 1st, they were down to 1-2 weeks. By the time my loan went to them in early March, it was only 24-48 hours. So, we lucked out there.
I'm sure some of the loan officers that visit these boards will chime in with their knowledge, but I think your LO should be able to give you a pretty good idea. Mine was spot on within a day or two on everything throughout the whole process.
This is my first home purchase, so I really don't have anything to compare it to. I have read numerous stories on this website and a couple of others about the whole process taking a long time. I literally went from no credit back in May of last year, to 5-6 TL's (2 AU's) when I applied for the mortgage. I really had no issues because of compensating factors that offset the lack of a long credit file. If you have any issues with your credit, maybe that is why UW is taking a longer amount of time. Can your LO not call the UW and get updates? Mine was able to speak to them 1-2 times a day for updates.
I hope thins start to move along for you!
03-29-2010 09:32 AM
We are in the state of Florida. We have our earnest money deposit finished and she was supposed to get our Appraisal last week, but it's supposedly being done today so I don't think it's even gone to the UW yet. She's been telling us all different time frames and changing the amount we approve for every time we talk to her. This is a local company as well. I'm just worried because originally we were given a closing date of April 1st, so we signed our lease termination, we're going to be homeless on the 15th, and we don't even know now if we can qualify for the loan at all since her numbers aren't matching with the calculations she told us it was based on.
03-29-2010 10:59 AM
WOW! You guys are scaring me. I, too, am going through USDA but I'm not even as far along as either of you are so I guess I need to be worried. I actually just signed my contract yesterday so my file has yet to even make it to USDA. I've already devised a plan to switch to FHA if & when necessary. Since my builder will be paying all closing costs I should be able to handle the 3.5% downpayment that's required. GOOD LUCK to us all!!!
03-29-2010 01:01 PM
Was told today that mine will be going to USDA at the end of today... yea I've been told that before hoping for a 48 hr turnaround time. They are trying to escrow repairs.. not sure if I'm comfortable with that as I'd rather have all repairs done prior to closing..
03-30-2010 09:16 AM
Hi, This whole process is getting on my nerves. Its like I feel that my future is hanging in the balance with these USDA people. Im in the same boat. Its like your LO gives you a closing date then you make all these provisions based on the date and no one acts as if they care that a roof over your head is worth a making that date happen. my closing date is Suppose to be tommorow 3/31 and my LO calls me today and says they are waiting on USDA to approve because they are inudated wih files and they are running out of money. And my file has been over there since last week. This is frustrating me to no end. But Im trying to keep a cool head. Needed a place to vent. I just want this to be over and know that my family will have a place to stay.
03-30-2010 10:37 AM
I feel your frustration. Luckily I live at home if I based my life on printed closing dates I'd be living out of a cardboard box. What I can't stand is when LO is less than honest in regards to status. Like mine has said a week and a half ago it was in USDA. Then a week ago it was still at UW but not to worry as their turn around time is a few hours to it actually taking a week. I don't care about the turn around time of things just wish they were more upfront rather than getting hopes up that the file is actually moving quicker that it actually is.
03-30-2010 12:42 PM
Well my LO is saying it got there last week and they are just waiting on USDA. I live with my parents and my fiance lives with hers. We have an 8 month old and we are anxious about getting into our own place so that we can move on with our lives and my son can have is own space. My question isnt the USDA accountable for meeting the closing date or at least let the USDA pick the closing date instead of the LO picking it and hoping that the USDA will hold up their end of the bargain. Now I feel like Im on some kind of day-to-day waiting list and time is running out.
03-30-2010 01:05 PM
I hope USDA is not backed up over here. My new contracted close date has been extended to on or before April 14th. My original close date was tomorrow. Hope I hear something from USDA tomorrow so I know that we are moving forward..
Hope everything works for you.. waiting sucks!