There was another post here exactly one month ago, applied for an FHA mortgage about the same time I did. We chatted about it & agreed to report back to each other at the end of the week. End of the week came and went. The other poster got their news ... I got nothing. So, here it is a MONTH later & still nothing.
They made me jump through a bunch of hoops including requesting an OFFICIAL TRANSCRIPT from a college to help document what I was doing during a job gap. Then, they didn't communicate with me at all. I had to call & email & finally email the boss ... only to hear the same "we've got to get it in front of our underwriters," since they were going to do a full underwriting upfront.
I'm absolutely LIVID at this point because they have pulled my credit & dragged me around ... I had a small opportunity window of just reaching a credit score that would allow me to squeek in to FHA but before I income out for good on a downpayment assistance program. I expected I might not qualify, but if not, I'd here the underwriters take and put together an action plan to try again in six months to a year (but no downpayment program at that point). I am just so upset that I have a wasted pull with a broker that I really wouldn't want to do business with whether I qualify now or a year from now. It's almost criminal to take something this important to someone's life & not communicate at ALL. Uggghh ...
Anyone experience such a thing? I'm really upset that I now have an inquiry I can ill-afford, I wasted a bunch of time, and possibly squandered a very small window of opportunity that cannot be recovered.
Starting Score: TU 490 on 11/2012
I'm looking to buy... In 2016 when my BK falls off my reports and my scores are much higher than they are now.
Stories like yours are why I want to enter the loan app process with a flawless CR that has no derogatory marks and no inquiries.
I have no problem renting another 2 years. I charge my roommates enough to cover the rent... I pay utilities and bank what I don't pay for rent as a future down payment.
Sigh. Well, I did get a pre-approval, although now I will probably shop around. The comments I've read about the lending company, as well as my experience, make me want to check my options carefully. I'm glad to hear the wait isn't hugely anomalous for files with some iffy items. It seemed absurd to me to wait four weeks for information. And, glad to hear the transcript request and such isn't unheard of, either. It seems the guys just weren't looking at my file except when I contact them, then they'd just put it aside again.
As for waiting for every item to be clean on the report, etc. before application, it's really all a balance. Weighing the rate you might get with less stellar credit, the downpayment you have, the value of the mortgage interest deduction, and other things. The climate/trends in intrest rates & prices, also important. And, in my case, a small window before incoming out of some downpayment assistance. If you're living basically rent free by charging your roommates, no loss. But, that's not always an option for a family with kids ... so the amount of rent being tossed away to someone else's equity is part of the equation. I'm also worried about my daughter's college financial aid and how they look at money sitting in the bank (to save for a downpayment) vs money used to purchase a primary home. I may end up just waiting a year when all is said and done, if the downpayment assistance doesn't work out. In a year, my credit will be basically clean and I'll have a vastly more significant pot of money for downpayment, due to an anticipated large bonus. So, yeah, lots of factors in play.