topic Re: USDA, here I come. in Mortgage Loans

USDA, here I come.

newmomnewme — Fri, 13 Dec 2013 06:00:50 GMT

Ok, so in May mortgage broker ran my scores.....they were all mid 500s, paid off tax liens, joined myFico in September and learned to PFD, GW, and

when he checked today EX 639, EQ- 668, and TU- 670. Thank you myFico family.

He requested the following:

Last 2 paystubs
2011 and 2012 w-2 and tax returns
Last 2 months bank statements from all accounts
Landlords name and number
Letter from job saying if I transfer my salary at least stays the same (I am moving from DC to rural MD)
Letter of Explanation for 2 charge offs and 2 90+ lates
Proof that student loans will be on a graduated payment plan

Now, he said that this was for a "review" USDA approval? Will he go to the lenders after this "review" to get pre-approval? How much money do I need to have on hand now?? How long does this "review" take? As I am typing these questions, I am cutting an pasting them in an email to him. LOL

You guys always respond faster........this is my USDA journey!

Re: USDA, here I come.

newmomnewme — Fri, 13 Dec 2013 16:00:03 GMT

I spoke to my broker this am and he asked for proof of the student loan repayment plan (right now I am on the standard plan- payments $900) I am going to request to be on the graduated extended plan (payments will be $350). I also sent him a LOE to explain that some debts will be paid off before repayment starts (April 2015) and I will also have cost of living increases and eligible for my employers Annual Incentive Program (8% salary bonus based on company performance) that I have received EVERY year since I started working with this company 6 years ago.

Will this make a difference?

Re: USDA, here I come.

newmomnewme — Tue, 17 Dec 2013 05:48:06 GMT

Today my broker called and asked for new bank statements ( the online versions didn't have my name on them) and landlord information. I have only been living here for 16 months; so I had to give him landlord information for my last place as well. I pay rent in cash; I am hoping that he won't need receipts from me.

Re: USDA, here I come.

Shawn_L — Tue, 17 Dec 2013 15:30:39 GMT

First off, I would like to say congradulations for making it this far, and raising your scores. Keep us posted with your progress. I just had a lender pull my scores yesterday for a VA loan, and I'm starting to get the same kind of requests before getting the pre-approval. Glad to know I'm not the only one.

Re: USDA, here I come.

newmomnewme — Tue, 17 Dec 2013 18:34:47 GMT

Thanks for the reply and encouragement. I think he is going to try to get t through USDA before the holiday....if it doesn't go, I am going to try FHA. or conventional with my credit union. this forum has been awesome.

Re: USDA, here I come.

newmomnewme — Sat, 04 Jan 2014 17:24:51 GMT

mortgage broker told me to change my student loan repaymanent plan from standard to graduated...just got an email yesterday, saying I need to change it back to standard. FYI; graduated repayment plans are calculated into DTI using the highest payment amount.

I changed the repayment plan BACK to standard and verified all inq...I am just waiting to hear back. He says I should be approved within a few days. Soooooooo, I will be going to talk to the builder before we know it!!!

Re: USDA, here I come.

newmomnewme — Wed, 08 Jan 2014 20:07:43 GMT

Approved with conditions...I should be happy right?!?!? U/W requesting cancelled checks for rental payments...but I pay in cash. Is a letter from my landlord not enough?? Anyway, I am going to call my realtor and maybe I can go talk to the builder this week!!!! Yay!!

Re: USDA, here I come.

fixmycred14 — Wed, 08 Jan 2014 20:14:51 GMT

I am jumping for joy for you! Congratulations!!!!!!!!!!! I am so glad you moved fwd and took the plunge. I am holding off just a little while longer. After, you and I conversed I found a builder in Frederick under $300K. The homes qualify under the FHA condo group. Thanks for your support.

Re: USDA, here I come.

newmomnewme — Wed, 08 Jan 2014 20:48:24 GMT

Yay @ fixmycred14!!!! I am going to talk to the builder later this week to look a houseplans. I am geeked!!!!!!! BTW, I was approved with like 20 conditions.....what the heck?!?

Re: USDA, here I come.

fixmycred14 — Wed, 08 Jan 2014 20:53:44 GMT

Gosh...Really? Please enlighten me if you don't mind, in case the same happens to me. Why so many conditions?

Re: USDA, here I come.

newmomnewme — Thu, 09 Jan 2014 01:23:54 GMT

Idk, I am going to call the broker back tomorrow and ask him to explain them to me line by line....one was verification from my employer that I would still have the same salary if I moved? Proof of rental payment (calling my landlord wasn't enough); they wanted a reason why I pay in cash. Student loan amount verification....so many. I will update the post when I find out more.

Re: USDA, here I come.

fixmycred14 — Thu, 09 Jan 2014 01:38:50 GMT

Okay, thank so much.

Re: USDA, here I come.

newmomnewme — Fri, 10 Jan 2014 17:39:20 GMT

Spoke to broker again today. He says I can start satisfying conditions now....mostly employment verification and student loan stuff..

Re: USDA, here I come.

fixmycred14 — Fri, 10 Jan 2014 18:12:29 GMT

That's great news...shouldn't be too complicated. You're on your way!

Re: USDA, here I come.

AllThingsRPossible — Sat, 11 Jan 2014 00:12:30 GMT

Thanks for posting ur progress...Congrats! I can only imagine how happy u feel

Re: USDA, here I come.

newmomnewme — Tue, 14 Jan 2014 22:16:49 GMT

Received mortgage loan commitment today, signed and sent it back. My list of conditions is a little shorter than it was last week. Broker said my CR is good for 4 months, they will pull credit again before we settle. So, I need to pull together income information and tax returns and a few other LOEs...

I meet with builder friday of this week to discuss floorplans. I want a basement!!!! LOL

Re: USDA, here I come.

fixmycred14 — Wed, 15 Jan 2014 21:08:20 GMT

Congrats, my friend! I am so very happy for you!

Re: USDA, here I come.

newmomnewme — Wed, 15 Jan 2014 21:59:38 GMT

Thanks @fixmycred14, I am getting kind of nervous now though....I overspent during the holidays and I am hoping that my CS doesn't drop drastically, I am trying to pay my cc off before they report AND keep some $$ in my accounts because they want all of my bank statements. It is a serious balancing act. My broker made it a point to mention that I don't make any major purchases or open any new accounts.

Re: USDA, here I come.

fixmycred14 — Thu, 16 Jan 2014 03:42:44 GMT

You've come this far...don't get nervous. Just do the best you can. We have extra pp this month. Do you have one as well? See if you can drop a lump sum on something to alleviate the debt.

Re: USDA, here I come. UPDATES

newmomnewme — Sun, 19 Jan 2014 16:30:28 GMT

Two things happened last Friday.

First,

Spoke with the realtor and builder's agent (it didn't go as I though it would) and I got off the phone feeling run over and deflated. I thought we would discuss the floor plan modifications and pricing, which lots were available. Instead they tried to convince me to purchase a 1-level home 20k more than I planned to spend....WTH!?!? I really felt discouraged. I wanted this to be a positive experience....now I realize I have to tell them I want a 2-level home, 3 beds, 2 and 1/2 baths, full basement with roughed out bath, I also want a den on the first floor and if cost more than $220k I am not interested. I have to play hard ball right??

--Did I mention that the model I am looking at was 180k in May and now its 217k? No bueno.

Then,

My boss called to tell me that I may be assigned to a 15-month project and they can offer free rent for an apartment in Delaware....so, I find out the details on Tuesday. I think I may take the deal and give myself another year to rebuild/clean my credit before starting the mortgage process again.

What do you all think?