| Author |
Previous Topic | Next Topic |
|
cassie701
1359 Posts |
 Posted - 06/04/2008 : 11:02:18 PM
|
If you can get this loan done....its yours.
O/O
SFR
$295K Purchase price
$320K value
Mid 526
Highest LTV
Full doc
no open trades mostly paid collections
1st time home buyer
Has a lease purchase agreement that was signed recently but not on title
Seller may be willing to hold a second if allowed
No assets
South Carolina
Yes I know....
But its a friend of mine and I told her I would post it for her anyway. :) |
|
KHufford
6002 Posts |
Posted - 06/04/2008 : 11:07:07 PM
|
This person is in no position to buy a HOUSE. You have to be more upfront your friend. Tell them to make a few payments on a credit card before apllying for $300,000.
Also, Purchase Price = Value. No if ands or buts.
|
|
|
cassie701
1359 Posts |
Posted - 06/05/2008 : 12:15:15 AM
|
I have explained this to her....
However, my advice is not enough. So I posted this here so that she can see what other loan officers have to say about it as well.
I put the value there in case a seller 2nd was an option and there would be wiggle room to increase the sales price to match the value. |
|
|
KHufford
6002 Posts |
Posted - 06/05/2008 : 12:22:52 AM
|
quote:
Originally posted by cassie701
I have explained this to her....
However, my advice is not enough. So I posted this here so that she can see what other loan officers have to say about it as well.
I put the value there in case a seller 2nd was an option and there would be wiggle room to increase the sales price to match the value.
Your advice is not enough? Ouch! 
|
|
|
cassie701
1359 Posts |
Posted - 06/05/2008 : 12:24:06 AM
|
| Not when you have other loan officers selling her dreams.... |
|
|
KHufford
6002 Posts |
Posted - 06/05/2008 : 12:30:30 AM
|
quote:
Originally posted by cassie701
Not when you have other loan officers selling her dreams....
Let THEM waste their time then...I guess try running automated AU for FHA, see what happens, if that cant fly even manual UW I would give up.
|
|
|
cassie701
1359 Posts |
Posted - 06/05/2008 : 12:37:25 AM
|
quote:
Originally posted by KHufford
quote:
Originally posted by cassie701
Not when you have other loan officers selling her dreams....
Let THEM waste their time then...I guess try running automated AU for FHA, see what happens, if that cant fly even manual UW I would give up.
Oh. I am not working on the file. I just wanted her to see experienced loan officers responses. One of the loan officers she has talked to says he can get her an approval FHA. He is supposed to run AU tomorrow. We will see how it turns out. |
|
|
KHufford
6002 Posts |
Posted - 06/05/2008 : 12:46:06 AM
|
quote:
Originally posted by cassie701
quote:
Originally posted by KHufford
quote:
Originally posted by cassie701
Not when you have other loan officers selling her dreams....
Let THEM waste their time then...I guess try running automated AU for FHA, see what happens, if that cant fly even manual UW I would give up.
Oh. I am not working on the file. I just wanted her to see experienced loan officers responses. One of the loan officers she has talked to says he can get her an approval FHA. He is supposed to run AU tomorrow. We will see how it turns out.
I dont think it will fly FHA due to 1. The low FICO score 2. No tradelines
With a score that low most lender wont do it anymore, and if they do it will have to be a manual UW. In this case they will want compensating factors to offset the bad and make it 'approvable'.
Now, what positive compensating factors does this client have? NONE
1. No assets
This is BIG, wihtout assets its dead
2. No current tradelines
This shows a lack of paying anything on time. All collections. The client has NO history of paying anything, so there is nothing really to show financial responsibilty.
3. No downpayment
I assume they are looking for 3% down seller assistance. So no money invested either.
This loan may have be doable a year or two ago as a REFI, since its a lease option. They can use the actual value to calculate LTV, if value is higher than the lease option price they could have a low LTV and do this with a subprime lender. I dont think LTV is low enough anyway for this but just food for thought.
Good luck
|
|
|
jtm7332
500 Posts |
Posted - 06/05/2008 : 07:06:46 AM
|
| Even if it does come back approve the lender is going to ask for tradelines which they dont have. I would not waste my time. |
|
|
CoralSnake
10884 Posts |
Posted - 06/05/2008 : 07:14:00 AM
|
This sounds like a default waiting to happen.
No reserves- how is she going to pay the costs to move in to her new dream house?
Any repairs to the house needed?
What happens if the boiler breaks, now she cant pay her mortgage?
New Furniture?
As stated previously, she is in no position to purchase a house. |
|
|
| |
Previous Topic | Next Topic |
|
Search for: 
