In a nutshell, when I graduated from college, me and hubby bought first house. Signed with the first mortgage broker I saw on the internet. I believed them when they said that because I had a lot of new student loans, my debt to income ratios were too high and I didn't qualify for best interest rate (Scores were low 800s with 11 years of perfect credit history at the time) Got stuck with a subprime mortgage split into 2 mort's 10 and 14%. To this day, 3 years later, never missed a payment yet. About a year after grad, had some lengthy hospital stays with no income. Got behind, got some 30 and 60 days on auto loans, became current, have not paid late in 14 months since then. I had a lot of medical collections that I have successfully disputed off all the reports (except EXP, eventhough I have the UDF for deletion!) I didn't want to miss out on the record lows on the mort rates last week, so I decided to take the plunge. Eventhough EXP isn't clear yet, I had my UDF's in hand and went to the lender to refinance. My scores (TU 797, EQ 722, EXP 630) Hubby's are 610,605, 645. I didn't think to dispute his at the same time. Ugghh!. Well, the lender doesnt' want to use hubby's scores, only mine, and put the house only in my name. Because my income alone doesn't qualify, he has to put me in a no doc, no income, asset verification loan (not Fannie Mae either) so lender sends me the final loan paperwork-- the best he can do for me is 8.0%. and that is with paying almost 2 points!!! I swear, I will never be in a normal, low, conventional rate in my life. Everyone wants to screw me. I told him forget it. I will clean up the hubby's reports and we will apply together and put our names on the house together. I jumped in too fast on the first loan, I'm not doing that again. Why pay $3500 in closing costs to get into this loan then have to turn around after cleaning up hubby's credit and pay more closing costs to get into a lower rate? Is there a voice of reason out there? This is why I've spent the last 9 months cleaning up my credit. There has to be someone out there who can give me a better rate!
Have you tried Full Spectrum Lending?? Your scores seem pretty good to me (course I just pulled mine today, so just about ANYTHING would look better lol) I would shop around I'm sure that you can find a better rate. The ONE mistake that we made when we got a mortgage was not shopping around, you should ALWAYS shop around. Check your local newpaper they might have a chart of what the prime rates are for certain mortgage co's. GOOD LUCK!! L. PS- http://www.fullspectrumlending.com
Does this mortgage company requires 50% of your yearly income worth of liquid assets?Atleast one company i know requires this on their no income verification loan.Also are they asking a person to pledge these assets as security for the loan?or is it connected to the uniform code through the bank where the assets are at?I didn't know about the assets being required in order to get a no documentation mortgage,but from what i do understand about this type of loan is that the interest rates are 2 to 4 points higher then a regular proof of income one because this type of loan does carry a little higher risk then the POI one.
look up fla tan, he knows aboutall kinds of mortgages, and he accepts email. there are also others on the board that are brokers, but his is one of the names that I remember.....
Hi Anesthisia First...Thanks for the nice comments Maggie I will try my best to be of help to you. Firstly, based on your scores, you should be able to qualify for a Stated Income loan that will be about 8% with no discount points. This is about 1-1 1/2 pts higher than best rates. How much do you owe on your hou\me and about what is it's present value? You want to try to keep your LTV under 80% and your DTI under 41%. With most Stated Income loan you will need to have at least 6 mos. PITI in reserves and that can include things like IRA's and 401K's as well as stocks/bonds savings accts. etc. As long as your middle score is above 680 then normally you will be approved. If you wish, you can email me off-board and I will try to assist you further. fla-tan
Anesthesia, What you really need is a lender that does whats called a Lite Doc loan, or a bank statements only program. The lender, and I have several that do this, will accept 6 or 12 months bank statements as proof of your income. That way your husband does not need to be on the loan but you get to use his income to qualify. Now, most of the time you do anything outside of conventional guidlines you are going to pay more in the rate, but with your scores you shouldn't be paying 8%. The bank statement program is better then a stated loan because you are proving that you have money which is closer to conventional guidlines then a true stated program. Which for you means a better %rate. P.S. if your broker/lender doesnt have those progams just call other brokers and ask. Good Luck
Are all of the collections paid? If they are paid, you should be able to qualify for a conventional mortgage with both of you on the house.
