Hello!
I've been reading a lot of forums here for the last few weeks, mainly to see if anyone is in the same boat as us. We live in rural Wisconsin. We originally got pre-approved 9/17/14 for a USDA guaranteed home loan to purchase the home we had been renting for the last 2 years. Our credit scores were 640 and 663 (We were at 520 and 0 in 2012). My husband and I and our landlord submitted the Offer to Purchase, we sent in our application, paystubs, and W2's. No more than a week later we had a loan commitment with a few condtion's, but nothing major. We held off on ordering the appraisal because there were a few items in the home that first needed to be addressed. Then, my husband lost his job after 5.5 years of emplyoment. So we were waiting again to order the appraisal, becauase we felt like we needed to hang onto that $500 for just in case reserve. My husband found a new full time job after just a week and a half of searching. Then, come mid-October, the outdoor wood stove at the home we are living in broke. So we asked our landlord to fix, which he did reluctantly, but not to our standards... its losing close to 90º in the full circulation.
After a lot of praying and and mixed emotions we decided to back out of the offer we currently had with our landlord and placed an offer (which was accepted) on a different home on 11/8/14.
We quickly submitted another application, paystubs, 12 months worth of cleared rent checks, 1040's from the last 2 years as well as letter of explanations for items such as, why did we back out of previous offer, the length of time at our previous address, a late payment on our electric 2 years ago and the job change for my husband. We also had to strike off the new roof on the offer, because that would not be complete now that winter is upon us until the Spring. So, we had to have a roofer come give us an enstimate for a new roof and state that the roof as it is now, will last 2-3 years, which UW said was acceptable.
Then we got the OK to order the appraisal, which we did and the report came back perfect and at $2000 above what we offered.
And now we wait... UW should be reviewing the appraisal today or tomorrow and then hopefully on to USDA for review. We already ordered home insurance, the LO ordered the title and the title commitment came in yesterday.
We told our landlord that we would be out by the end of the month (12/31). And I believe the USDA is closed through the holiday. I'm so nervous UW will come back with something else. The seller told us we can start moving in when we get a loan commitment and I'm not understanding why we got one with our previous offer with no appraisal and this one there has been no commitment letter yet on this one. Anyone know? We would like to start moving in this weekend because its supposed to be a balmy 40º here in Wisconsin all weekend.
