FHA approval with 30 day late in Oct 2010?

[sheltymama]

My husband and I have received a PreApproval for a Home loan. I'm worried that thru the UW process it will fall thru somehow. I'm a worrier. Our lender pulled scores are

DH: EX 681, EQ 661, Trans04 703,   Mine are EX 663,  EQ 657 Trans04 657. We are going FHA with 3.5% down.  Our LO said they would go by the mid score of 661.

We have had clean credit for the year 2009. From my credit reports that I show there is one 30 day late on our truck payment in Oct, 2010. But the Credco Instant Merge Credit Report that the LO pulled shows two 30 day lates, one in Oct, 2010 and Nov 2010.

We had lots of other issues from the years 06, 07, 08. Then got back on track. 2 paid collections in 08 and 09, very small amounts.

Should I be overly worried that there are showing two 30 day lates in year 2010? I know that FHA will allow one 30 day, but will two be a problem?

  All other credit accounts current during the year. And our debt is very low.

[Booner72]

Hi There - I don't know if 2 will be a problem or not, but can you get ahold of that company by writing GW letters?  I've had success w/ phone calls, even.  I'm currently working on a GW myself.  Some say yes, some say no.  But I'm not giving up!  Good Luck!

[ShanetheMortgageMan]

If you are both on the loan then they will go by the lowest mid score of all applicants, your 657.  It'll be an underwriter's judgment call on it, I could see it getting approved if your debt to income ratios are low and you have some reserves in the bank/retirement after closing.

[sheltymama]

Thanks for your response. Oh, my typo error. My Transu score is 661, that's where I got the 661 score. That's the score my LO quoted me. 

Our debt to income is very low, All lines (3 with a balance, total of $300.) of credit are way under the 9% and our truck payment will be paid off in three months. We do have an offer in on a short sale (6/23/11), so we are not looking for it to close until the end of September or October or more. That's getting close to the one year mark for the 30 day lates. Will they pull the credit again and see it farther along, almost to the one year? Possible with a little increase to our scores.

[ShanetheMortgageMan]

You are welcome.  Yeah if your credit report expires at 90 days so it'll be pulled right about/before then.