What are my chances of getting a va or fha loan if i make $50,000 a year after taxes, monthly bills of $500?
bad credit about 3 years ago and cleaned it up this past year with a credit score now of 650 with no debt. My wife is a stay at home mom and does not work but is currently in school with about $20,000 in student loans. She will not be on the application. Will they consider that on the loan?
Tags: $500, $50000, after, bills, Chances, Getting, Loan, Monthly, taxes, year
2011/09/28 at 23:56:54
Well, for VA you need to either be in or ex military.
How much down payment do you have saved?
How much are houses in the area you want?
If you make about 50k, you can probably afford about a 150k house.
If your score is 650 and you have cleaned up your debt, have been on the job for 2 years, you should be good to go.
2011/09/28 at 23:28:12
if she’s not applying for the loan, her credit has nothing to do with it. but if I were her I wouldn’t want your name solely on the house, in case you die then who owns the house? ask your loan officer how to treat that. he can figure out based on your expenses how much you can afford each month for taxes, mortgage and insurance. those 3 things are what make up your payment, you have to cover all that each month. but there’s no way you only have $500 in expenses each month if you have 1 or more kids, where are you living?
2011/09/28 at 23:18:35
Yes, You should qualify for the FHA home loan. Enjoy your new home and Congrats in getting your bad debt taken care of.
2011/09/28 at 22:38:36
Assuming you don’t have anything in collections and no late payments in the past 12 months, a 650 is good enough to get a VA or FHA and the fact that you have no debt will increase the dollar amount you can borrow. Yes, you can solely be on the loan apart from your wife and your wife’s debt. Still there are other factors at play that may inhibit approval like if by chance you had a prior foreclosure, and how long ago it occurred.
Ultimately you need to sit down with a mortgage banker and discover your borrowing options. A good mortgage banker will be able to tell you exactly what you need to do to get approved if you aren’t already set to go. Good Luck
2011/09/28 at 22:21:28
Sounds like you’re in good shape. With a credit score of 650 and credit cleaned up, you should qualify.
The wifes debts will probably appear on the credit report for you, don’t think that will hurt you.
You have 2 options on how to begin…
1. You can go directly to a reputable mortgage company, your local bank or credit union and see if you qualify for a mortgage. They will take all your credit info and then tell you if you qualify and how much they are willing to loan you. You will receive a preapproval letter from them. You will need this when making an offer on a house. Now go to a local real estate offcie and they will find homes for you in your price range that fit your needs/requirements.
2. You can go directly to the real estate office. Let them know that you are not preapproved and they can refer you to a bank/mortgage company to get preapproved.
Good luck
2011/09/28 at 21:56:54
The FHA is going to be iffy (and the VA as well). What the FHA is looking for is 2 years of clean credit history – if you just cleaned it up this past year, you may not qualify for another 12 to 18 months. Work with your loan processor and be prepared to submit explanations, additional documents, etc.
2011/09/28 at 21:17:04
Sounds like you would qualify for the FHA, although not sure about the VA, not a veteran myself. Your wifes’ student loan will not reflect on your application if you are the sole individual applying for the loan. Just know that FHA requires that put down 3.5% + all closing costs unless you can get the seller to pay the 6% concessions, or part of them! Going through this right now with my kids, so I know what you’re going through. You’ll get a great deal on a short sale property, but be warned, they take a time to clear.