@TheKid2 Yes!, I got a call Friday that all conditions have been met for credit approval! So I am fully approved pending appraisal. I am asking for and approved for 180k. I owe 395k on the house and appraisal should be 750k give or take so there is plenty of equity there. My DTI with the Projected HELOC payment came in right at 49.93% after including 3 items on my report to be paid at closing. 1 being an auto loan. For data points I am almost 3 years post chapter 13 discharge. The documents I submitted for aprroval were simple. Most recent statements for items I'm paying off at closing, most recent pay stub, chapter 13 discharge, HOI with Pfcu added as 2nd lein holder, Hoa dues statement showing paid, most recent mortgage statement showing paid (because it didn't reflect on report yet) and they verified employment through my employer. The hybrid appraisal should be back this week but I expect we will have to move forward with a full appraisal because we have a fully finished basement that will not show up and will add a lot to our value. Once we finalize appraisal we will close. Should be easy from here.
Last App: May 9, 2022 | Last HP: May 9, 2022 | Gardening since: May 9, 2022 | Last updated: May 15, 2022
@Arcreactors wrote:@TheKid2 Yes!, I got a call Friday that all conditions have been met for credit approval! So I am fully approved pending appraisal. I am asking for and approved for 180k. I owe 395k on the house and appraisal should be 750k give or take so there is plenty of equity there. My DTI with the Projected HELOC payment came in right at 49.93% after paying off 3 items on my report. 1 being an auto loan. For data points I am almost 3 years post chapter 13 discharge. The documents I submitted for aprroval were simple. Most recent statements for items I'm paying off at closing, most recent pay stub, chapter 13 discharge, HOI with Pfcu added as 2nd lein holder, Hoa dues statement showing paid, most recent mortgage statement showing paid (because it didn't reflect on report yet) and they verified employment through my employer. The hybrid appraisal should be back this week but I expect we will have to move forward with a full appraisal because we have a fully finished basement that will not show up and will add a lot to our value. Once we finalize appraisal we will close. Should be easy from here.
Fantastic! Here's hoping the rest goes super smooth to funding. It would be great to hear final terms (i.e. interest rate, fees, etc). Thanks for helping me decide if I go through PenFed for a HELOC myself!
@TheKid2 I will keep you updated then post an overall summary of my experience. The rate is prime plus a margin. 4+.50 so 4.5%. They are covering the closing cost and if I have to do a full appraisal its around $580. Penfed has been really great to work with and easy!
@ArcreactorsI appreciate the information you provided on your experience with PenFed and hope you have completed the process. I applied for a HELOC with PenFed a week ago and haven't heard back from them nor received any requests for information. How long did it take for them to reach out to you and make the initial information requests and assign a loan officer? I also wonder how long the process took for you from application to loan funding? I understand the process may have taken a bit longer for you due to having a full appraisal. If you don't mind answering, how much lower was your hybrid appraisal compared to the full appraisal? Thanks!
Starting Score: EQ - 691; TU - 726; EX - 711@jenrn123 Hey! I'll be glad to answer any questions. I will eventually post my experience for others. From the time I applied until a loan processor reached out was about 6 days. That was when all of the initial documents were requested. This was 5/21. The main hang up for me was the appraisal. They do a quick desktop appraisal but was low because of the basement that we have finished and public record house specs being wrong so they did a drive by appraisal which I also knew was going to be wrong. The issue here is the drive by took only about 2 days for them to come by but about 10 days to get back. Only then was I able to request a full. The full was done on a Thursday and back 3 days later on a Monday. My loan processer warned me that appraisals have been coming in low, especially when a HELOC or 2nd mortgage is attached. The hybrid was 540k and my paid full appraisal was 680k. My house is easily 750k+. Although I was unhappy with this number It was suffice for what we were taking out (150k) I closed on my loan last Saturday 6/25 and the loan was funded yesterday 6/30. So even with all the hang ups and the feeling it was dragging on it only took 46 days from app to funding. Overall, a great experience with everyone involved with my case.
Thanks for the information! Sounds like, as long as I get my documents in quickly and don't require a full appraisal, I should be able to get through the process in about a month. My house appraised for $427K 3 years ago and tax value is about the same. I owe $172K and am asking for $200K HELOC, so even if my appraisal is the same, I should qualify with 90% LTV. Comps in my area put my home value at around $575-600K. Here's hoping to get through the process quickly!