what are my chances of approval for USDA direct?? anyone

[Anonymous]

Hi all,

I recently submitted an application for USDA direct. They pulled my credit, veriified employment, verified current rental. Then they asked for all the documentation current taxes, bank statements, letters of explanations and proof for 2 past collections that are paid for and are reporting inacurately. I submitted all of that. Then they asked for missing last pages of the bank statements which I did not include prior beacause its only the last junk page of the statement, they also asked for a written statement for any cash deposits on my bank statements, and previous landlord info.

I called and spoke to the underwrited who sent the letter and explained that the cash were deposits of money my husband had earned selling personal items online and shoveling snow only because I went into preterm labor and about to go into matertnity leave and my income woould temporarily decrease, I also explained that I did not include previous landlord on my app because we really did not have one, we were provided with housing by my mother in law and we gave her money for food and bills. She said to write out statements and that they have scenarios like that all the time they just need to account for everything and that they were really easy to deal with, but she didnt say where my file stands as far as approval. My credit is good.. no lates, no open collections for over 6 months..

Any USDA experts out there, please tell me what you think or what youve gone thru. Were up against the wall im currently renting a winter rental thats up in 2 months and just had a baby and need to know something already!! sorry for posting such long story!

[Anonymous]

oh and ive obviously passed the pre-eligibility screening with income and i guess credit.. anyone PLEASE!!!!!!! tia

[JM-AM]

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@escoboo wrote:

Hi all,

I recently submitted an application for USDA direct. They pulled my credit, veriified employment, verified current rental. Then they asked for all the documentation current taxes, bank statements, letters of explanations and proof for 2 past collections that are paid for and are reporting inacurately. I submitted all of that. Then they asked for missing last pages of the bank statements which I did not include prior beacause its only the last junk page of the statement, they also asked for a written statement for any cash deposits on my bank statements, and previous landlord info.

I called and spoke to the underwrited who sent the letter and explained that the cash were deposits of money my husband had earned selling personal items online and shoveling snow only because I went into preterm labor and about to go into matertnity leave and my income woould temporarily decrease, I also explained that I did not include previous landlord on my app because we really did not have one, we were provided with housing by my mother in law and we gave her money for food and bills. She said to write out statements and that they have scenarios like that all the time they just need to account for everything and that they were really easy to deal with, but she didnt say where my file stands as far as approval. My credit is good.. no lates, no open collections for over 6 months..

Any USDA experts out there, please tell me what you think or what youve gone thru. Were up against the wall im currently renting a winter rental thats up in 2 months and just had a baby and need to know something already!! sorry for posting such long story!

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Saying your credit is good with no lates, no open collections or anything for 6 months, IMO means you have been improving your credit. In your next post you are assuming that you have passed pre-approval on everything.

I am no expert on USDA, but from what others have posted with USDA it is not a quick process. Even if you are pre-approved and qualified I believe the process will take more then a few months to complete pending USDA has funds.

Hopefully some one will chime in to give you a better break down for USDA loans. Keep in mind this is the weekend and may take a few days for someone with more knowledge on USDA to respond. Good Luck

[ShanetheMortgageMan]

Since they didn't decline you initially, and are just asking for these extra documents, it's probable your credit is OK, and the docs just need to be reviewed by the underwriter to be deemed sufficient.  After they are signed off on you'll be either officially credit pre-approved, or if you are under contract and the appraisal has been done/reviewed then you'd have the clear-to-close on the new home.