Qualifying for a Mortgage ASAP

Discussion in 'Credit Talk' started by Kelly A, May 23, 2000.

  1. Kelly A

    Kelly A Guest

    I'm a single 29 yo wanting to purchase a house or condominium. I have very modest requirements and in the region where I live housing prices are below the national average so I will settle in the 60-70k range. I need some solid advice because my current living conditions are intolerable and causing me to become depressed. I moved in with my parents after years of financial vagrancy in an attempt to pay my debts and rehabilitate my credit. I have no social life, can't date, sometimes can't sleep (I work odd hours, sleep during the day, and the walls are thin and I can hear television/the dog barking/phone ringing/etc). I have an unstable work history but have had my current job for a year (before that I was roaming in Europe for 6 months jobless). I make 27k a year (gross). My Experian credit report has 4 accounts in good standing as follows: a closed 5 month old Providian account with credit limit and high balance of $500 - (I closed it after reading things on this board about their practices with less sophisticated consumers). A Citibank Visa closed in 1993, never late with no info about limit or balance. An open Capital One with $2000 limit currently 0. I owe 20k in student loans (originally I owed only 8k but defaulted and the remainder is accumulated interest and penalties for an education I never completed). My automobile is paid for and I have no need to buy one anytime soon. I have received all three of Fannie Mae's widely advertised brochures titled "Knowing and Understanding Your Credit"; "Opening the Door to a Home of Your Own"; and "Choosing the Mortgage that's Right For You" and read them and based on this information make the following depressing conclusion: I have another year of being at my current job and my student loan debt is too large given my income to allow me to qualify for a conventional mortgage. Does anyone have any practical advice for me that may help me to realize my goal as soon as possible. I don't want to go out and rent an apartment because that is just throwing money down the drain all over again and not helping me achieve my goal. Finally, according to Fannie Mae conventional lenders will require the last two years of W2's to verify income. Since my current job started mid year 1999 my 1999 W2 shows income of about 13k. Does this mean that I should wait another 6 months beyond my 2 year anniversary mark in May 2001 to assure that I have 2 W2's that state complete income for a complete calendar year.
     
  2. kim

    kim Well-Known Member

    RE: Qualifying for a Mortgage

    Just my opinion, but for sanity sake and to create something current and positive on your credit report, rent an apartment for a year or two, then try to get a house.
     
  3. Eric

    Eric Guest

    RE: Qualifying for a Mortgage

    Since when does an apartment rental show on your credit report?
     
  4. kim

    kim Well-Known Member

    RE: Qualifying for a Mortgage

    Apartment rental won't show on your credit report, but most mortgage lenders want to see that you have been paying rent on time for at least a year. Please do correct me if I'm wrong.
     
  5. Kelly A

    Kelly A Guest

    RE: Qualifying for a Mortgage

    Kim I dont' know where you get off making such a categorical statement and then glibly saying "oh, correct me if I'm wrong". And I see from another post that you just got a FHA loan where you are only putting down a measly 3%. It seems to me you shouldn't be dispensing advice. I think I'll do what my mom says I should, marry that guy who keeps pressuring me to do so even if he is 10 years older. Besides, he makes 75k a year.

    Kim wrote:
    -------------------------------
    Apartment rental won't show on your credit report, but most mortgage lenders want to see that you have been paying rent on time for at least a year. Please do correct me if I'm wrong.
     
  6. kim

    kim Well-Known Member

    RE: Qualifying for a Mortgage

    Kelly ~~ Pardon me if I offended you, that was not my intent, from your initial post it seemed to me that living at home was making you crazy, which is why I suggested you move to an apartment (not to mention it would help you establish yourself)

    Re: my mortgage and my measibly 3% ~~ it's a loan and it'll be my house, you don't have to take my advice or anyone elses.

    Re: marriage to the guy 10 years older and making $75k ~~ great, go for it, if that's what makes you happy.

    Peace
     
  7. Eric

    Eric Guest

    RE: Qualifying for a Mortgage

    Kelly A wrote:
    -------------------------------
    Kim I dont' know where you get off making such a categorical statement and then glibly saying "oh, correct me if I'm wrong". And I see from another post that you just got a FHA loan where you are only putting down a measly 3%. It seems to me you shouldn't be dispensing advice. I think I'll do what my mom says I should, marry that guy who keeps pressuring me to do so even if he is 10 years older. Besides, he makes 75k a year.
    ----

    Frankly, I don't understand where you get off asking for advise and then taking shots at Kim for trying to help answer your questions.

    Certainly she speaks from experience if she just got a mortgage, and the fact that she managed to pull off a 3% down mortgage should be applauded. Perhaps you should listen to her advise.

    None of us here are absolute experts, but together we try to pool our knowledge to better everyone else so they don't have to fight the same battles we did.

    Those of us with humility ask to be corrected when someone has better experience with a particular area.

    Please use this resource to better yourself, but I take offense at your post, and I'm sure many others do as well.
     
  8. kim

    kim Well-Known Member

    RE: Qualifying for a Mortgage

    Thanks for backing me up Eric. I wasn't at all trying to be snotty when i asked for correction ~ thanks for not be offended as Kelly apparently was.
     
  9. Momof3

    Momof3 Well-Known Member

    RE: Qualifying for a Mortgage

    What is wrong here?? She was just giving advice, I don't see how you were so offended?? We are know experts here, well most aren't (Kristi), but we do try to give some experience we have to others. If you think that was so offensive, then maybe you should seek advice elsewhere.
     
  10. JP

    JP Guest

    RE: Qualifying for a Mortgage

    I'm not taking sides here, but one of the major advantages of an FHA loan is the low-down requirements. Its not meant to be anything bad, its actually meant to help those with low down payments own a home.

    Regards,
    JP
     
  11. Michelle

    Michelle Guest

    RE: Qualifying for a Mortgage

    Huh? You seem hot headed, I don't see what Kim said to fuel that statement. It appears she was trying to offer ok advice.
     

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