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Established Member
altimatuner59
Posts: 33
Registered: ‎03-23-2009

think i can get a home loan with this situation?

my scores are tu723 eq708 no idea on exp i have a 120 day late from 6.5 years ago on a student loan that is a joint account with my mom, no collections no missed payment. the only tough part is that ive been on the job for 4 years, and my w2's only show me making 13000 a year. in janurary i got a raise, im getting 2200 bi weekly now yay! but, i dont have w2's showing that obviously. i plan on putting 10% down and doing a conventional loan, do you guys think i will be  approved? looking to buy in the price range of 75k-130k. tia guys!
TU:723 EQF:712 EXP:739 5/09
Frequent Contributor
teacherhere
Posts: 276
Registered: ‎07-22-2008

Re: think i can get a home loan with this situation?

I don't think the W2s will be a problem. They will probably ask for a month of paystubs. Without knowing what debt you have, I can't help too much. But with your income, 41% dti would allow about 900 a month of debt including your mortgage payment(mortgage, interest, taxes, insurance and PMI)

 

A 120,000 house with 10% down at 5.5% has a mortgage/interest payment of about 630.00. PMI is going to run you about 75.00 a month so you are up to 695.00. See if you can figure out taxes and insurance for your area and calculate it in.

 

If you  have any other debt payments, this changes everything.

 

Your scores look ok, job history is fine, no baddies on the reports in the last 12 months.

 

Have you money for closing? You can negioate seller assistance but if not, count on another 5-7%

If money is an issue, consider FHA, it is 3,5% down.

Established Member
altimatuner59
Posts: 33
Registered: ‎03-23-2009

Re: think i can get a home loan with this situation?

they estimate the payment taxes and insurance complete is to be around 965-980 a month. total down, with closing they are estimating it to be around 16k. and they said to have 3months of check stubs showing what i make now, which i do have. so it looks like it maybe possible! jeeeeez i hope so, i dont want to rent and i dont want to live with mom and dad anymore lol! 13k in the bank right now

TU:723 EQF:712 EXP:739 5/09
Senior Contributor
UpUpUp
Posts: 3,017
Registered: ‎06-03-2008

Re: think i can get a home loan with this situation?

Typically 41% is the back end ratio. That's the total of any debts plus your PITI payment can't go over 41%, but that does NOT mean your mortgage could take up 41% of your income. People often get that confused, so just wanted to be sure that you realize that.
Established Member
altimatuner59
Posts: 33
Registered: ‎03-23-2009

Re: think i can get a home loan with this situation?

piti? ...
TU:723 EQF:712 EXP:739 5/09
Established Contributor
ladyofnight
Posts: 602
Registered: ‎02-06-2009

Re: think i can get a home loan with this situation?

Principal, Interest, Taxes & Insurance = PITI :smileyhappy:
Frequent Contributor
teacherhere
Posts: 276
Registered: ‎07-22-2008

Re: think i can get a home loan with this situation?

up is right and that is why I posted, if you have debts you have not listed, that changes everything!

 

 

Established Member
altimatuner59
Posts: 33
Registered: ‎03-23-2009

Re: think i can get a home loan with this situation?

the only other considerable debt i have is an autoloan of 569 a month. and student loan at 115 a month.

TU:723 EQF:712 EXP:739 5/09
Frequent Contributor
teacherhere
Posts: 276
Registered: ‎07-22-2008

Re: think i can get a home loan with this situation?

I hate to be the bearer of bad news but with the income that you are reporting and the debt that you just reported. I don't see this happening. Your 41% allowabe dti=900 and you just posted 684 of debt. That is only a difference of 216 a month.
Senior Contributor
UpUpUp
Posts: 3,017
Registered: ‎06-03-2008

Re: think i can get a home loan with this situation?

But what I'm also saying is that the 41% is only if you have other debts. You can't have your housing payment be 41%. That's usually more like 30something% that is allowed for housing payment, then any additional debts PLUS housing can't be over 41%. So, you don't figure out the housing payment as 41% even if there are no other debts.

 

Not sure I am articulating this properly, but basically the housing payment is not allowed to be 41% (unless automated underwriting approved something higher and it was able to get through) - it's housing payments plus any other debts can't be higher than 41%. Your total housing payment is usually ahve to be in the 30something % range. 


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