topic Re: Offer accepted!! Loan ALMOST approved...one 8-month-old late stands in the way!! in Mortgage Loans

Offer accepted!! Loan ALMOST approved...one 8-month-old late stands in the way!!

Anonymous — Fri, 20 Mar 2009 02:09:57 GMT

AH!! Our offer was accepted and the loan is almost ours but we had one late payment in July 08, 30 days late, and the LO says that is the only thing standing in the way of our FHA loan!! OH MY GOD!! I'm going to call first thing in the morning to beg the cc company to remove the late, but it's Capital One and I've read on here that they're not very kind about this sort of thing. Any advice?? If nothing else just send us your good thoughts please!! I cannot believe this is all that stands in our way.

Re: Offer accepted!! Loan ALMOST approved...one 8-month-old late stands in the way!!

Anonymous — Fri, 20 Mar 2009 02:13:14 GMT

Congrats. That's so awesome. Best of luck on the late working out with your loan. You are ALMOST THERE!!

Re: Offer accepted!! Loan ALMOST approved...one 8-month-old late stands in the way!!

Anonymous — Fri, 20 Mar 2009 02:32:28 GMT

to be honest i had a 90 and 30 day lates removed from my Capital One card last year. it's my first and oldest card and the lates were more than 3 years old.i disputed through experian but i know it's not good to do that during an approval process. call, call, and call again.

Re: Offer accepted!! Loan ALMOST approved...one 8-month-old late stands in the way!!

Anonymous — Fri, 20 Mar 2009 17:50:08 GMT

Bad news...Capital One is not working with us and the seller (a bank) wants a loan commitment fast...it's not looking good.

Re: Offer accepted!! Loan ALMOST approved...one 8-month-old late stands in the way!!

Anonymous — Fri, 20 Mar 2009 18:16:56 GMT

Thats the only negative on your report? Doesn't make sense unless there is more.

Re: Offer accepted!! Loan ALMOST approved...one 8-month-old late stands in the way!!

Anonymous — Fri, 20 Mar 2009 19:18:07 GMT

FHA does'nt like lates in the past 12 months.

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Thats the only negative on your report? Doesn't make sense unless there is more.

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Re: Offer accepted!! Loan ALMOST approved...one 8-month-old late stands in the way!!

Anonymous — Fri, 20 Mar 2009 19:47:36 GMT

We also had a bankruptcy in 2004, so that doesn't look great. But since then the 30 day late is the only derogatory...I spoke with yet another LO today. I laid it all out for her and she said the 30 day late should not be a problem, especially if we can provide good explanation, which we can. So we're meeting with her Monday night and I just pray it goes well. We have to get the loan application in by Wednesday and have a loan commitment by April 5. I don't have a good feeling about it, but we'll see.

Re: Offer accepted!! Loan ALMOST approved...one 8-month-old late stands in the way!!

Anonymous — Fri, 20 Mar 2009 20:04:33 GMT

1 late can normally be overlooked, but any lates post BK are a very hard hurdle to overcome.

Also, GW lates tend to be easier on account that has aged some since the late. Alot of times you have to wait until it has been a year or more before they will comply. they want to see good history before removing info.

Re: Offer accepted!! Loan ALMOST approved...one 8-month-old late stands in the way!!

Anonymous — Mon, 23 Mar 2009 01:01:07 GMT

Well here's the latest update...we're not going to be able to remove the late payment from our credit. Capital One is living up to its reputation. But we decided to contact a couple more lenders to see if they could help us.

We met with a LO at our bank today. We've been very happy customers at our bank, but I honestly thought we might be wasting our time talking to them. I figured a mortgage broker would have more options available. But the LO really worked on crunching numbers and offered us points to bring our interest rate down in order to bring our DTI to a satisfactory level. He also said the bank offers grants on top of the county grants that we already qualify for, so he said we're looking at bringing $500-ish to closing for the points (the seller's paying some of the closing costs).

We told him the situation with the late payment, and he said that yes, that is a problem with FHA, but if automated underwriting approved us (which it did with the other mortgage broker), then it wouldn't matter. So he said he's somewhat optimistic, will get our application going, and should have an answer by lunchtime tomorrow.

I feel like this is our last shot at this house, so wish us luck!! We need it!

Re: Offer accepted!! Loan ALMOST approved...one 8-month-old late stands in the way!!

Anonymous — Mon, 23 Mar 2009 01:03:34 GMT

That is what I have heard as well about auto UW. If it approves you then you are OK with a post BK late. But manual can not overide it without really strong compensating factors (or maybe not at all)

Re: Offer accepted!! Loan ALMOST approved...one 8-month-old late stands in the way!!

Anonymous — Mon, 23 Mar 2009 01:09:05 GMT

I hope the AU works in our favor again! The LO said they've been tweaking the system, so it's hard to predict what the outcome will be. He said he was baffled that the broker had more or less ignored the approve/eligible. I'm trying to prepare myself for bad news tomorrow, but at least it's not over yet. We'll see!

Re: Offer accepted!! Loan ALMOST approved...one 8-month-old late stands in the way!!

Anonymous — Mon, 23 Mar 2009 01:19:34 GMT

The likely answer is that although the broker got an approval through AU, the investor that buys his loans requires no lates post BK with no exceptions. As in all cases, the FHA rules are minimums and individual lenders and investors may have stricter guidelines.

Re: Offer accepted!! Loan ALMOST approved...one 8-month-old late stands in the way!!

Anonymous — Mon, 23 Mar 2009 18:58:33 GMT

So it sounds like we can get a loan through our bank (hooray!) BUT they're all freaking out now about FHA approving the condition of the house since it's a foreclosure. I understand the concern, but it's in great shape for a foreclosure, and I'm just frustrated because I've been saying all along that we're FHA...told our realtor that when we made the offer, and it's only now that she's unsure whether the seller will even deal with us. This is frustrating!!!

Re: Offer accepted!! Loan ALMOST approved...one 8-month-old late stands in the way!!

Anonymous — Tue, 24 Mar 2009 16:50:06 GMT

BAH! I waited to hear back from the realtor about the seller's willingness to work with us on an FHA loan. I got impatient and felt like we were wasting time (we're supposed to do inspections next week!) and finally decided to call her. She spoke with the listing agent and said we need to submit an addendum to the original contract stating that we're FHA, not conventional. I TOLD her when we signed the offer that were not conventional, and she made it sound like it wasn't a big deal. And then yesterday she started acting nervous that FHA wouldn't approve the house, even though I really think they will. And then even though we keep getting told we have to act fast on loan application, inspections, etc, I'm sitting on my butt today twiddling my thumbs and waiting for a phone call, and all the while we need to sign this addendum and get it in, and no one calls me to tell me that! So now it'll probably be tomorrow at the earliest that we hear back on whether or not the seller accepts our financing change...

Sheesh.