got the ok

[Anonymous]

scores were now   my 619 husband 613... paying off CC friday.. and LO basically said we'd be over 620 at least since nothing else has changed.. found some homes we like.. looking mroe tomorrow to decide what we want to offer on... what else should I do? Im nervous cause we finally made it to preapproval point, what now?

[Anonymous]

Find you dream home and get your offer accepted.

[Lel]

What is your current utilization?  Are you paying off sufficient CC debt to affect your utilization significantly?

There are no guarantees in FICO scoring.  You're close to the 620 threshhold, but unless you're going to drastically drop you utilization (preferably to below 9%), then your LO should not be guaranteeing a qualifying score.  If you do make an offer, make sure you include a financing contingency, so that if your scores don't go up as much as needed, you won't lose your earnest money.

[Anonymous]

yes, we are going from 99% util to under 9%.. so we are drastically reducing the debt, and increasing the score. whats earnest $$ tho? Do i have to use it, and do they cash the check? someone told me they put a check for 1% down, but the check wasnt cashed til closing?

[rockymtngrl]

Typically once you have an accepted offer and everyone has agreed and signed off on it your earnest money check will be cashed. In order to get the clear to close you will have to show a bank statement showing that the earnest money check cleared your bank without dipping into the negative. Thats how its always been when I've bought a house anyway.

[Anonymous]

When you put in an offer they usually request a deposit to prove it is a serious offer. The money goes into an account to applied at closing so it usually is cashed. Our check was $1000 (we were told that's a typical amount) and was cashed within a week or so. We also had the NH Housing downpayment assistance and were required to bring 1% of our own money to the deal on an FHA loan. We only ended up having to pay $500 at closing on a $210k home because we paid that $1000 up front, as well as the $375 for the appraisal and $250 for the inspection. Within 14 days of putting in our offer we dished out a total of $1625. I wouldn't put in an offer until you have 1% of the sales price in the bank.

[ShanetheMortgageMan]

Did you work out the paying off collections issue?

[Anonymous]

yes, we postponed some of the payoff dates... that way the CA wont report anything.. and with the current inquiry he just did... ours scores were good and he can go off of that!! then e will just do a rapid rescore next week with the credit cards being paid off.

So, we found the dream home.. what should i worry about now? whats the next step? can the underwriter still say no? yikes, getting anxious.. and still need to finagle a way to have the rest of the money at closing... but ill have a couple paychecks before then.... any suggestions?

[ShanetheMortgageMan]

Phew, sounds like the collections won't be an issue to the score then.  If the underwriter has reviewed your credit, income and assets... then the only thing stopping you now is the home itself (appraisal report or title report).

You'll need to save up the money to pay the collections on your own, you can't borrow the funds, and you can't get gift funds for it... HOWEVER you can get gift funds for the down payment or closing costs.... follow my drift?

Message Edited by ShanetheMortgageMan on 09-18-2009 09:41 AM

[Anonymous]

we are getting a 1% "gift" to add to our own 1% down payment.. getting a grant for 4% towards down payment too. collection money we should have that covered in two weeks when we get paid again... now, what should i do to get settlement stuff done for CA? just request a statement? i know Im going to need to prove i paid them or settled prior to close?