I am seriously about to cry
My2Beauties wrote: Oh my Goodness I am so upset right now! I just found out that the underwriters just turned our file down on the house  I am really really upset, she said there are a few other things we can try but our rate might not be as good! She said it was due to debt to income but Brian has no debt, I had to write a freaking letter as to why Brian had no open debt and now they're syaing debt to income! I don't understand!
coasterqueen replied: Ahh LeAnn I'm so sorry. I guess what it means is your debt far outweighs your income and you would be a higher risk.  Is that the case for you? 
TANNER'S MOM replied: OH HOney! don't get discouraged..that was just one underwriter..and believe me there are hundreds of them ! It will be ok, if its meant to be... 
Boys r us replied: Oh honey! I'm so sorry!!!
Lenders don't like the debt to income to be out of balance. I don't know why it's a problem though if Brian doesn't have any debt, unless you have a lot only in your name. Hopefully it will all work out hun!
Maddie&EthansMom replied: I agree with Mel. Hang in there. It really is hard work to get a house. There are always LOTS of letters involved. I know we had to write lots of letters to different people, etc. You WILL get the house if it is meant to be. 
My2Beauties replied:
The loan is in Brian's name and he literally has no debt, no car payment, no nothing just rent and that is it! She said it didn't make sense to her neither why that was one of the deciding factors, she did put a call in to another lender for an exception, so we'll see! Please guys P& Pt's on this, I am really hurt right now, we just bought furniture and everything for this house! We thought it was a sealed deal, that is what they have been telling us all along!
coasterqueen replied: P&pt's coming your way. 
Could it be that his amount of income doesn't justify the cost of the mortgage etc and that's why it was denied as a debt to income ratio?
They could be saying that the "debt" of the mortgage far outweighs the amount of income he is bringing in. See what I mean?
I know Dh nor I could have gotten the loan to build our house just soley by one of ourselves.
My2Beauties replied: I don't know I have called my mortgage broker so we could talk about this! I am so upset right now!
Kaitlin'smom replied: awww sweetie I kow how you feel, I was set to close on my house (back in 99) on a fridaymoring at 8a well the thursday before they pulled it at 4:15p because some underwrite saw something she did not like, needless to say that was the WORST 45minutes till everything was fine and closing was back on, my DH and I were n the phone so much to everyone it was crazy
Tyr not to get to upset until you hear from your lender on the final word maybe they just need to go a little higher to have it approved.
I wish the the best and hope it all works out
MomToMany replied: So sorry LeAnn! We went through that last year when we tried to get a new house. We've been trying to get everything caught up and/or paid off (hopefully with our tax money), so it can work this time. This small trailer house isn't big enough for 7 people!!
I hope you can still get it! P&PT's for you!!
My2Beauties replied: Well I talked to my mortgage broker and she said she is putting it through to another underwriter who does conventional loans instead of FHA loans. She said that now that his credit score has jumped 102 points we have a better change at getting a conventional loan! She is supposed to let me know something by tomorrow afternoon! Please p&pt for me!
MomToMany replied: That's great news!! *Fingers crossed* for you guys!!!!
kimberley replied: omg! i am so sorry hon! i don't know much about buying a house but i will send lots of P&PT your way that everything works out!
coasterqueen replied: Ahhh now that you say "credit score" this makes a whole lot of sense.
I deal with credit score legislation on almost a daily legislation. 
Basically because he has no credit it means that he is at a higher risk. If a person has no credit or a LOT of credit (debt) then they are at higher risk than those who may just have a few "credits". Insurance companies use credit scores too and you'll encounter this when you go to get insurance for the home or any insurance for that matter. It's all a crock, although you can't tell my employer that.
I have a good credit score, DH has a low credit score. It's all because most of our debt is in DH's name. I think it's a crock because we may have a lot of debt but we pay our bills on time every month and more than the minimum....although banks and insurance companies don't look at that or do they care.
Highway robbery I tell you .
My2Beauties replied:
I think so too! His credit score when we first started looking was a 545 - very very low! So needless to say we have been working at this for 6 months, getting this paid,establishing this, he got a personal loan to pay off medical bills which in turn opened up another trade line, now his credit score has jumped to a 647, FHA approved him when he was still below 600, he needed a 587 I believe or something weird like that, so even since then it has jumped that much more!
coasterqueen replied: Yep, every credit card you open affects you. If you don't open any credit cards it can affect you. Student loans, anything can affect you.
DH and I will not be able to get away from the credit score issue til Kylie is in college because that's how long we'll be paying on our student loans. It's a crock. Then if we take out any kind of loan for her college it will be the same thing all over again.
Of course our bank still has no problem giving us money, which sometimes I wish they did. 
Maddie&EthansMom replied:
FHA is HARD!!!!! I know this from experience. We have had 2 FHA loans.  Also, if Brian doesn't really have any credit history at all they can be picky about that. kwim? They don't necessarily just deny loans to people with BAD history, but to people with NO history as well. So, if he doesn't have any loans out there that he can prove he paid....they will pick that apart. Life sucks sometimes.
Maddie&EthansMom replied: Okay, so I just repeated what you and Karen were talking about.  I should have read the posts, first.
~Roo'sMama~ replied: ((Hugs)) I hope it all works out for you!! We had to get a conventional loan instead of an FHA when we bought this house because it wasn't in very good condition and they wouldn't approve it for FHA.
It worked out fine and we got an ok intrest rate. Good luck!
My2Beauties replied:
Thanks for the encouraging words! FHA is really picky, they even underappraised our house. This house appraised for almost $120,000 in 2003 and the FHA appraisor only appraised at $106,000, the appraiser even said had he been doing this for a conventional loan then the house would have appraised for more   That confused me but oh well, I mean that helps us out with taxes but still...it's just weird how strict they are about things, then they turned around and said something about the appraisal in underwriting, but it was their appraisor that did it! our mortgage broker said if we have to get another appraisal for a conventional loan she'll eat the cost! Thank goodness, I forked out $350 for that one, I can't afford to do that again!
mom21kid2dogs replied:
FHA loans are incredibly hard to get. I'm sure you will have alot more luck with a conventional loan as opposed to FHA. Lots of people can't get those, sweetie!!
Here's some P &PT coming your way!!
MommyToAshley replied: Sending some P&PT's your way! It sounds like you have a good chance at getting the conventional lone. Hang in there!
Please keep us posted, I will be thinking about you.
A&A'smommy replied: Good luck I hope everything goes smoothly after this!!! Sending LOTS o P&PT'S
texasp3 replied: I'll keep my fingers crossed for you guys... something will work out. Believe me, without going into a lot of embarassing personal detail.. if DH and I could get a home loan... you guys certainly can!!! Just keep trying - there's a loan out there with your name on it. And in today's market, even a "higher rate" loan is WAY lower than what people with good credit were getting stuck with a few years back.
Emeraldsmom replied: I'm so sorry. That is so depressing. I hope everything gets better.
jcc64 replied: I have no clue what an FHA loan is, but I do know that just because one creditor finds you "risky" doesn't mean another will. In the end, you may wind up with a higher rate, but you can always refinance later on.
As far as the logic of appraisals goes, the general rule of thumb is: the appraisal amount will vary wildly depending on the reason for the appraisal. For tax purposes, my house was perceived to be worth almost $75,000 more than it was for our home equity line of credit application. When it's in the bank/gov't/creditor's interest for your house to be worth more, it will be, when it's in your interest, it won't.
It can all make you nuts. But I'm fairly certain it will work out for you- there are all sorts of loan programs for all sorts of credit histories. Hopefully, your broker will point you in the right direction.
Good luck, hon, we're pullin' for you!
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