No credit card required
Browse credit cards from a variety of issuers to see if there's a better card for you.
Hi,
I am in the process of looking to purchase a newly built home. Prefered lender is Wellsfargo. This means they have to prequalify me before the builder even agrees to take my deposit and have an agreement.
Here is my situation. I have a short sale in my credit history and this was completed in Feb 2011. So it will be 3 years next Feb (2014).
After Verifying my income and my situation, Wellsfargo loan officer even did not to pre-qualify me becuase she thinks that my loan will not be approved. But she thinks I may be in a better situation once I cross the 3 years limit after short.
I need some help here, so I can plan. Please share your experince, if you have been able to get a loan from Wellsfargo, with a short sale history.
Also, I was late for 120+ to get my short sale approved. That is also refelcted in my report.
Thank you
The LO is right. The time period that is used is calculated from the date the deed is transferred from you to the buyer in a short sale to the NEW LOAN APPLICATION DATE for the new mortgage.
If you are going FHA the time period is 3 years (unless you do the Back to work program - which has other criteria).
If you are going conventional the time period is longer.
What type of loan are you going for?
Preferably would like to take Conventional Route.
With Short Sale and late payments, what are my chances of getting a conventional loan?
What are thier requriments.
I am looking at 20% down, so I can aviod any PMI.
But the original questions about Prequalification, what are my chances of gettign prequalified from Wells frago after Feb 2014. My credit is good except for this short sale and late payments associated with this. My score is just above 700 as of now.
Appreicte your response.
Interesting that you have 20% for your down payment. Make sure to let the LO know that because the criteria is only two years from the date that the deed transferred from you to the short sale buyer. The down payment makes a difference because the normal wait time for conentional is 7 years for less than a 10% down payment, 4 years if you have 10% for your down payment and 2 years with 20% down payment. The 3 yrs wait time is for FHA financing.
Did you tell the LO about the down payment amount you had before?
Yes I did. Since I have lates on credit report during short sale, she said they cannot pre qualify me.
They evene did not pull my credit report, once I told them I have short sale with late payments.
On top of it, I shoed them the sources from which I will be able to do 20% down, but they did not want to work with me as of now.
@HonestRebuild wrote:Yes I did. Since I have lates on credit report during short sale, she said they cannot pre qualify me.
They evene did not pull my credit report, once I told them I have short sale with late payments.
On top of it, I shoed them the sources from which I will be able to do 20% down, but they did not want to work with me as of now.
wells has some good loan officers..... and they have some order takers.....
sounds like your order taker doesnt understand loans.
apply elsewhere.
All I need from them is, pre-qualify me for the loan, so the builder can agree to sell the house for me. This builder has Wells Fargo as thier prefered loan vendor.
By the way they think, mine Short Sale was more a Strategic defult. I had to short sale due to my job relocation.
@HonestRebuild wrote:All I need from them is, pre-qualify me for the loan, so the builder can agree to sell the house for me. This builder has Wells Fargo as thier prefered loan vendor.
By the way they think, mine Short Sale was more a Strategic defult. I had to short sale due to my job relocation.
find a loan officer with a good reputation...
grow a pair....
tell the builder that their preferred lender sucks
I wish I coud do that and tell the lender I need some one else to pre-qualify.
By the way I asked them, if they accept any other banks pre-qual letter, they denied.
Noe crossign my fingers till Mid of Feb.
In the mean while, if any one in the same situaion and got pre-qualified or already completed the loan process please share your experince.
I can use some pointers.
I don't have any experience with this, but is this builder the only one that you are considering and is this their only lender?