Profile picture for user4683973

FHA underwriting process.

I applied for a conventional mortgage loan using a local mortgage broker due to my scores pushing close to the 700. I initially wanted to go FHA because i had a two old charge offs on my report from 2008 with  a 0 balance  and the broker was aware of this. four days before my contract was set to expire i get a call from broker saying the loan was denied conventional due to charge-off's we have to go the FHA route. Now I have to start the process over and fill out more paper and more waiting my question is how long does it take to get an approval with FHA. Broker says Im approved through desktop underwriting for FHA and the charge off's aren't a problem he states he should have a an official  approval in about three days is this the normal time frame f for underwriting approval with FHA or he's just blow smoke @ me?
  Flag content
Close
Report a Problem

Please enter a valid email address.

Close
Content flagged

We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

Close
We're Sorry
This service is temporarily unavailable. Please come back later and try again.
August 16 2013 - US
We think we've answered this question for you!
  • Be a Good Neighbor. Be respectful and on-topic. No spam or self-promotion! See our Good Neighbor Policy.
 
 

Answers (8)

Profile picture for fshenberger
Best Wishes, I am working with a Bank and LO said they have their DE for FHA underwriting, this is BS, he is annoyed with me b/c I asked HOW LONG!!!  I'm in the 6th day of underwriting and he said he doesn't know because it's at HUD.  I called HUD they don't underwrite what is going on?????
  Flag content
Close
Report a Problem

Please enter a valid email address.

Close
Content flagged

We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

Close
We're Sorry
This service is temporarily unavailable. Please come back later and try again.
August 19 2013
The quickest I have seen an FHA loan close is 8 days.
  Flag content
Close
Report a Problem

Please enter a valid email address.

Close
Content flagged

We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

Close
We're Sorry
This service is temporarily unavailable. Please come back later and try again.
August 17 2013
Am I the only one confused by this?  Why didn't the broker have a DU approval with the conventional scenario?  It seems the charge-offs would have been known to be an issue at the beginning not the end.

FHA can typically move fast for most lenders, however it is a more costly product for the borrower.
  Flag content
Close
Report a Problem

Please enter a valid email address.

Close
Content flagged

We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

Close
We're Sorry
This service is temporarily unavailable. Please come back later and try again.
August 16 2013
Another big one for this scenario is that he will need an FHA appraisal or get the conventional one converted to an FHA.  This process often takes about 4 days minimum, only then can you fully underwrite the file which takes time from that point.  a 700 credit score and an old charge off sounds doable as well.  I only originate in California, and our bank is one of the top originators in the country of FHA, regardless, if you have questions you can get in touch.
  Flag content
Close
Report a Problem

Please enter a valid email address.

Close
Content flagged

We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

Close
We're Sorry
This service is temporarily unavailable. Please come back later and try again.
August 16 2013
If the lender does not underwrite in-house (delegated FHA), then you could be waiting for a while. You are at the mercy of a 3rd party if that is not the case.
  Flag content
Close
Report a Problem

Please enter a valid email address.

Close
Content flagged

We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

Close
We're Sorry
This service is temporarily unavailable. Please come back later and try again.
August 16 2013
You need to work with a company that has an in house FHA underwriter.
If so, you can have the file underwritten in 24-48 hours. If clean, docs can go out same day or as soon as final conditions are cleared. We have closed an FHA loan in 7 days. That is the fastest the law allows a loan to close. Make sure to ask questions about where the underwriter is located? Are you working with a broker, Mortgage Bank or Retail Bank? Best wishes to you.
  Flag content
Close
Report a Problem

Please enter a valid email address.

Close
Content flagged

We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

Close
We're Sorry
This service is temporarily unavailable. Please come back later and try again.
August 16 2013
Loan approvals can be ready as little as 24-48 hours depending on your lender. So it is not unusual that your lender can get you a pre-approval in 3 days. But realize that the pre-approval time frame is not the same as the time frame to close the loan. The turn times to close an FHA loan can be anywhere from 3-8 weeks depending on your lender.

Well I hope this helps and good luck with getting your FHA loan!
  Flag content
Close
Report a Problem

Please enter a valid email address.

Close
Content flagged

We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

Close
We're Sorry
This service is temporarily unavailable. Please come back later and try again.
August 16 2013
Profile picture for fshenberger
Same thing happened to me, go with a seasoned FHA Lender, mine isn't and now I'm a test case 5th day in underwriting no answer.  No one can seem to tell me how long either.  MAKE SURE THE LENDER HAS AN FHA UNDERWRITING DEPARTMENT or you will be sorry... going though so much I'm physically and mentally drained.
  Flag content
Close
Report a Problem

Please enter a valid email address.

Close
Content flagged

We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.

Close
We're Sorry
This service is temporarily unavailable. Please come back later and try again.
August 16 2013
 
Related Questions
VA Home Loan
Profile picture for Geofrey Merino
Latest answer by Geofrey Merino
22 minutes ago | 7 answers
Anyone have a list of 203k lenders in Virginia?
Profile picture for Craig Bynum
Latest answer by Craig Bynum
1 hour 11 minutes ago | 2 answers
How long should you have money in your bank account?
Profile picture for Craig Bynum
Latest answer by Craig Bynum
1 hour 16 minutes ago | 6 answers
Highest score is 583 with higher income and spouse's score is 680 with low income...
Profile picture for George  Raymondo
Latest answer by George Raymondo
2 hours ago | 2 answers
Hi my husband is eligible for a VA loan
Profile picture for Rocco Ward
Latest answer by Rocco Ward
7 hours ago | 7 answers
Mortgage Rates
 
Be A Good Neighbor

Zillow Advice depends on each member to keep it a safe, fun, and positive place. If you see abuse, flag it. More on our Good Neighbor Policy.