Conventional denied but unsure if house will pass fha.. what can I do

[Anonymous]

We currently have a house we are buying from a private owner. We were approved for an fha loan for the full 130k. The house is old and in good condition but I just don’t think fha appraisal will go well. We want to get a conventional loan but all of the automated underwriting has denied us.
Our current credit situation is as follows
Income $3400 a month min
Credit score 684
Credit card completely paid off in the past 90 days
2 old collection accounts
2014- sprint bill $1100
2014- att bill $183
Car payment at $430 a month
$2000 for down payment/closing costs as we can get down payment assistance.

We were denied for a conventional loan through our current lender and tried to apply to quicken loans too and they also could not get it to go through for automated conventional underwriting.
Is there anything else we can do? This is the house and we are willing to do pretty much anything to get it

[JVille]

If the Appraisal won’t work FHA then it sure won’t work conventional! FHA will lend on a dump.

[Anonymous]

You really think so? The house is not a dump in any way. It’s been kept up and doesn’t have anything really wrong with it. But we walked through it yesterday and we saw a few places that had some chipped paint, some small lines in a bit of plaster, some broken fence tiles. The heat is fuel and has a furnace but It also has a wood pellet stove hooked up and a few broken bricks in the basement.
After dealing with fha denying a home based on well and septic distance in the past we don’t have a lot of faith in fha appraisals. I thought that they were extremely difficult to pass.