topic Re: Just got denied from FGMC. :-( in Mortgage Loans

Just got denied from FGMC. :-(

mwmiller82 — Thu, 28 Jun 2012 16:04:23 GMT

Smh, well I gave it a shot, the problem wasn't the score, debt to income, open collection account. It was turned down because the earliest they'll review my app again would be January. Why? Because she wanted to see 12 months of in time payment with my car note. I currently don't know what else to do! I really wanted this house, it's perfect for me and my family! Smh I'm so upset right now! I don't really know why else to do but wait.

Re: Just got denied from FGMC. :-(

AshCas — Thu, 28 Jun 2012 16:48:53 GMT

I'm just curious - what were the scores they pulled when you applied? Are they still the ones in your signature?

Re: Just got denied from FGMC. :-(

jules0580 — Thu, 28 Jun 2012 17:02:47 GMT

Have you considered trying a different lender? Dont give up so easy! Fingers crossed for you

Re: Just got denied from FGMC. :-(

Anonymous — Thu, 28 Jun 2012 17:05:24 GMT

I know on VA and FHA you have to have 12 months of no late payments... and by "late" they mean 30 days or more.. It is the requirements of the loan.. I'm not sure what loan you were going for but, you can google FHA requirements..

Re: Just got denied from FGMC. :-(

courtney091082 — Thu, 28 Jun 2012 23:08:04 GMT

@mwmiller82 wrote:
Smh, well I gave it a shot, the problem wasn't the score, debt to income, open collection account. It was turned down because the earliest they'll review my app again would be January. Why? Because she wanted to see 12 months of in time payment with my car note. I currently don't know what else to do! I really wanted this house, it's perfect for me and my family! Smh I'm so upset right now! I don't really know why else to do but wait.

Hmm my guess is this means you have been late in the last 12 months? FHA does require 12 months of no lates...I know a few have said they've had 1 30 day late and still loaned, but not everyone has been that lucky.

Re: Just got denied from FGMC. :-(

thankfulheart — Fri, 29 Jun 2012 00:54:37 GMT

@courtney091082 wrote:
@mwmiller82 wrote:
Smh, well I gave it a shot, the problem wasn't the score, debt to income, open collection account. It was turned down because the earliest they'll review my app again would be January. Why? Because she wanted to see 12 months of in time payment with my car note. I currently don't know what else to do! I really wanted this house, it's perfect for me and my family! Smh I'm so upset right now! I don't really know why else to do but wait.
Hmm my guess is this means you have been late in the last 12 months? FHA does require 12 months of no lates...I know a few have said they've had 1 30 day late and still loaned, but not everyone has been that lucky.

+1 I had to wait until this month to apply as to be a year without a 30 day late on anything and that was for both USDA and FHA. It was actually a good thing because it gave me time to work on my credit and get my scores where they needed to be to make the process somewhat easier.

Re: Just got denied from FGMC. :-(

mwmiller82 — Fri, 29 Jun 2012 22:02:08 GMT

Sorry it took so long guys. I've been doing double shifts this weeks,I've had no time to respond. It was just mind blowing because I took a hit on my credit scores going through 3 different companies in the past 1 1/2 weeks. One told me I had to pay my collections off didn't matter if I pif, or settled, as long as it was closed, told me my score of 606 was good enough, this being quicken loans. The local company here in my state told me regardless of the new FHA standard, the lenders has the right to still decide to have you pay off collections, this company wanted me to pay it off or settle, and also have a 640 score. And the last which was FGMC, told me the score wasn't an issue, neither was the debt to income, collections, or anything else, it was the fact the Prelim Underwriting shot it down only because I had 6/7 months on time payment opposed to 12, I asked again and again was this the only reason and he said yes that she couldn't approve it because of that reason ONLY it made me so mad,!! See there, that is the deal, I was thinking about disputing some 30 day lates to bump it down some, but the house maybe sold by then idk.

Re: Just got denied from FGMC. :-(

mwmiller82 — Fri, 29 Jun 2012 22:03:12 GMT

I haven't updated it but my scores ( my highest 2) are in the 600's right under 610.

Re: Just got denied from FGMC. :-(

courtney091082 — Fri, 29 Jun 2012 22:11:43 GMT

Go for it, try to get the GW, there isn't any harm in trying. If they say no, give it the few months and reapply. There are new houses coming available all the time And this will give you time to save more money and bring up your scores too.

Re: Just got denied from FGMC. :-(

mwmiller82 — Fri, 29 Jun 2012 22:16:22 GMT

You're right, this is what I've tried explaining to my fiancée, but you know how determined woman can be. We love the house though, built in the 60's, it's a large contemporary ranch. Beautiful home!!

Re: Just got denied from FGMC. :-(

courtney091082 — Fri, 29 Jun 2012 22:18:00 GMT

We have lots of houses like that around here, well built for sure There will be others, patience is a virtue! Your patience will pay off

Re: Just got denied from FGMC. :-(

mwmiller82 — Fri, 29 Jun 2012 22:37:21 GMT

Thanks Court!!

Re: Just got denied from FGMC. :-(

BungalowMo — Mon, 02 Jul 2012 00:13:02 GMT

mwmiller....I know how you must be feeling. Back in the Fall of '06, I found an adorable end unit townhouse. Sellers wanted $300k (remember, in 06 that was an acceptable price!) but they wouldn't budge or replace & fix a few things I wanted....then my mortgage guy & his buddy doing the financing had me in their office & were shoving papers in front of me ..."sign this & that"! I wanted explanations of what everything was & they were sort of "poo pooing" all my concerns. I got up, stepped back & said NO! It didn't feel right. Red flags all over the place, even though I really did like the place.

A wise friend told me later..."what is meant for you, won't go past you". Oh, how right she was. 9 months later, I found an adorable 100 year old home that just spoke to me! SO charming & had gorgeous woodwork, original art deco light fixtures & a great 25' front porch.

So...as my good friend told me...what's meant for you won't go past you. The house you're meant to have will be better than the one that got away! Just wait & see!!

Re: Just got denied from FGMC. :-(

Anonymous — Mon, 02 Jul 2012 00:33:08 GMT

I put a contract on a foreclosure that needed tons of work and the Seller refused to lower the price so that I can roll the repairs into the Loan. I thought that house was perfect with 2000 square feet and a acre and 1/2 of land. I lost the contract but I found a house with everything I needed plus wanted, even the den is wired for sound. I absolutely feel like this is Home. I know that you are disappointed but maybe there is a perfect house just around the corner that will meet all your criteria. I had to have three tradelines reporting positively for one year (no lates). Beleive me you wouldnt want to go through Underwriting without having all your ducks in a row, becuase they can make your life a living nightmare. Everthing will work out perfectly, continue looking and you never know what will be just around the corner.

Re: Just got denied from FGMC. :-(

Booner72 — Mon, 02 Jul 2012 02:52:52 GMT

@mwmiller82 wrote:
Smh, well I gave it a shot, the problem wasn't the score, debt to income, open collection account. It was turned down because the earliest they'll review my app again would be January. Why? Because she wanted to see 12 months of in time payment with my car note. I currently don't know what else to do! I really wanted this house, it's perfect for me and my family! Smh I'm so upset right now! I don't really know why else to do but wait.

I can't for the life of me figure out what "smh" stands for, and I'm starting to see it everywhere. Anyone?

My lender told me "You don't find the house, the house finds you." Use the next months to continue to work on your credit scores and save money. With borderline scores the UW can get very very picky, so you want to go in with your best foot forward next time.

Re: Just got denied from FGMC. :-(

MarineVietVet — Mon, 02 Jul 2012 02:52:08 GMT

@Booner72 wrote:
I can't for the life of me figure out what "smh" stands for, and I'm starting to see it everywhere. Anyone?

I had to look it up.

SMH= Shake My Head.

Re: Just got denied from FGMC. :-(

Anonymous — Mon, 02 Jul 2012 03:02:36 GMT

I know how you feel, I got denied Monday. I am also working with Quicken, but they told me they require a min 620 score. So I am still chipping away at it. Good luck to you!

Re: Just got denied from FGMC. :-(

Anonymous — Mon, 02 Jul 2012 03:57:24 GMT

Just wanted to say I feel your pain!

I just found this board tonight. We were preapproved for a VA loan, found the PERFECT house, went under contract, had the inspection, and then got turned down on Friday. :-(

Re: Just got denied from FGMC. :-(

Anonymous — Mon, 02 Jul 2012 07:23:23 GMT

just a quick question. How can one be preapproved, under contract and be denied?

Re: Just got denied from FGMC. :-(

StartingOver10 — Mon, 02 Jul 2012 11:09:40 GMT

@Anonymous wrote:
just a quick question. How can one be preapproved, under contract and be denied?

This happens when a lender issues a pre-approval without looking at all of the buyer's documentation. One example would be the buyer is self-employeed and gives the gross income to the lender when in fact the tax returns of the buyer reflect substantially less income due to business deductions. There are other reasons, but having less income or greater expenses is the typical reason for a buyer to get denied after having an "approval".

IMO it is irresponsible fo the lender to waste everyone's time and effort with a bogus "pre-approval". This is especially problemactic now with some of the large "big box" banks moving to a inefficient mortgage application model where the loan officer is really only an application taker - rather than a true loan officer. (Think Wells Fargo - a huge percentage of their pre-approvals never close IME.) Another abuser of this system is Quicken Loans.

Writing bogus pre-approvals is loan officer specific. In other words, a true professional loan officer will insist on all the appropriate paperwork before issuing a pre-approval. if your loan officer hasn't asked for documentation up front - run away. It puts the buyer in a bad position and it's not like the buyer is going to sneak past the underwriter!