Re: Re: Who got FHA????? I'm now wondering if that's why the broker I talked to wanted me to clean up my credit. He doesn't want to do all the work!! We have very few collections most older than 2 yrs and we've never filed bk. I owe a total of $800 and Dh is at $1300 (all to various creditors/not many). Nothing big and no CC Co's. My largest is a med bill ($500+) due to fall off in Dec, or sooner Dh is settling his largest, $600+, for deletion. That's it!! We can't get FHA, but all of you can?!? That doesn't seem right! Thinking after my disputes end, I'll pull our reports and shop around!! He did come highly recommended. That's why I went to him Thank you for the insight!! Truly appreciated
I had an FHA loan for several years, just refinanced last year out of it. I didn't have any collection accounts, but I did have a LOT of lates, I think some 90s and maybe even a 120 or so. I had gotten a really subprime the year before, desperate for money to pay off bills after a divorce. They told me if I made all payments on time I could refinance to an FHA and I did. However, I have to disagree with the poster about the appraisal. You should have fought it and requested another, even if you do have to pay for it. Our appraisal was the problem. It was far from a drive-by. I had lived in this house for 15 years or so. They said the front door wasn't secure enough, and because of the type of lock my ex-husband had installed, I couldn't really replace the lock. Even though it had been there for years, I suddenly had to put on a new door. And part of the house below the siding is concrete. We had to PAINT the concrete, and had to paint our storage shed because the inspector said it was starting to peel. Remember, this wasn't a sale, but a refi. And he knew it, too. I ended up spending almost $5K to get a refi!!! The PMI is a bummer, but to get a pretty standard rate and be able to get a house, it may well be worth it. Otherwise, you may be at a subprime rate, and the payment difference is higher than the PMI amount. Or you may need more than a 3% down. So, it depends on your circumstances. My advice is, go for the FHA. If you get everything else cleaned up, and rates stay down, you can refinance next year.
From what I know and I could be wrong here. FHA goes back really hard on the last 2 years. Income, tax statements, time at job, and the FICO score. FHA does not even see a B.K(7) in their eyes after 2 years. The FICO is more looked at. A down payment on debt vs. equity factor will weigh in to.
I have 3 Charge-offs (over 2 years), do I have to pay these off before I get an FHA loan??? All 3 Chargeoffs are less than $5K.
That is what I am trying to figure out too? I have about 8 chargeoffs dating from the years 97 & 98 that total around 3k. They are all 5-6 yrs old. I know FHA say they want charge offs to be paid off but I am wondering is this for only the last 2-3yrs or present chargeoffs that have to be paid for. My statue of limitations on my charge offs are up now . They only get 4 years to sue me and right now the collectors/creditors time to sue me are up. And I would not want to start any payments on these accounts that would re-start the SOL time to collect payments on these accts again. I starting to believe it may be possible to get a loan by FHA, I guess the only way to find out is to talk to a realtor that is not going to BS you around
Sucker is any of your chargeoffs beyond the statue of limitations in your state for open accts? If so did your realtor say you still had to pay these off too?
The way I understand it is that they look at your credit history from the past 2 years. Late payments or new collections added could prevent you from being approved. Unpaid collections, chargeoffs, judgments, tax liens,etc regardless of the age need to paid prior to closing on the home. The reason being is that FHA doesn't want someone placing a lien against the home you're financing through them. If you have an unpaid bill that they require you to pay but you dispute, you can always ask that the money be placed in your escrow account until you get the situation straightened out.
Re: Re: Who got FHA????? That's the thing, we only have one chargeoff. It's not even dh's account. It's one of the two Verizon accounts on his report, it's for $81. He's never had a phone or cell phone in his name. The rest are collections. My med bill is beyond SOL.... He's not a realtor, he's a mortgage broker. He wants us to pay them all off. Don't know why, but I'm now suspecting it's to save himself some time. We don't owe that much, $2100 , I can't imagine it's because he doesn't want us to get sued later on. I guess I'll find out soon enough. Our disputes end on the 17th and we're taking our reports shopping for a mortgage. I'll let you all know what happens
Re: Re: Who got FHA????? Are there Income limits and loan limits on FHA homes. I have an Equifax Score of 649 and make about $100k a year. I have been clean for about 2.5 years no BK at all, just some lates and 1 chargeoff. I am looking to buy a house around $300k and have about $10-$20k to put down. I have been too nervous to start looking at mortgages. Would this be the way to go or should I look in other places?
Re: Re: Re: Who got FHA????? It depends where you live. See this link http://www.fhalibrary.com/fha_mortgages/fha_loan_limits
Re: Re: Re: Who got FHA????? I don't think the income matters, but the cost of the house does. As the previous poster said, check the link to find out about your area. Or contact a good mortgage broker. With that kind of income, you may even be able to get a conventional. I did last year, refinanced out of the FHA. We had an aggressive broker who actually helped get a few derogs off, and we sent paperwork about some of them, explaining them. It took about a month to get it all done, the broker had a way to expedite the process of getting the derogs explained or deleted. That's when I got seriously interested in cleaning up credit and found this site.
Re: Re: Who got FHA????? smontoya5 This is the way I understand it as well. Can they still place a lien against the home even if the debt is past the SOL. I thought that the SOL prevents a creditor from any legal recourse. Am I not understanding SOL properly? Just curious.
Re: Re: Who got FHA????? That is what I am thinking too, they can try to take a lien against your home, but if you can back your self with sol and the docs such as credit report, old acct statements and other paper documents to prove the sol has expired. There is no way they can take a lien against your home successfully. But otherwise if you have nothing to prove your case of SOL then you would be Sh*T out of luck.
Re: Re: Who got FHA????? I think you must have no collections, no unpaid chargoffs at all on your credit report. If you have your credit pulled and then, in the meantime get somethings fixed or removed they can do something called "Rapid Resolve" which immediately re-figures your credit score.
