Denied conventional loan. Trying for FHA

[tooleman694]

If its in the Bay, Santa Clara county is 822k.

[Anonymous]

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Hi @Anonymous,

You need to check the FHA loan limit for your county.

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FHA loan limit for my county is $822,375 and the condo is FHA approved. 

[xenon3030]

In very competitive market locations like Bay area you should be very careful while placing yourself under contract, prior getting pre-approval. The paper works can be very lengthy and frustrating and it is much better to have pre-approval before going under the one month contract. I hope FHA would work.

[House2021]

Same thing happened to me, told I was approved for conventional, then told I was rejected for conventional, I had a 651 at the time, trying to get up to 680, at 669 now, maybe you can get the one point, do a rapid rescore, and change to conventional? The MI on fha really is terrible, plus the upfront funding fee. Similarly, it was because of prior bad debts, but I've paid everything off and got my last 4 collections deleted, so hoping for two things to report then I'll try again.

[nykos5000]

Could be because of COVID, mortgage lenders still have those more strict overlays? I remember this time last year, a middle score of 683 was needed for a lot of mortgage servicers for conventional and 685 for FHA. I thought by now, things would have loosened up a bit

[Anonymous]

@Anonymous 

Keep us updated on your progress. I hope you get the FHA approval for your condo. I just purchased last year via FHA and next year looking to buy an investment property via conventional loan. I'm nervous just thinking about starting this process again - it totally stressed me out last year. 

[ktigs]

So how did it go?! Did you get your condo? I sure hope you did!