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Joseph Metzler

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Lender

Senior Loan Officer (23 years experience)

Specialties:
Purchase Loan,
Refinancing,
Home Equity,
Mortgage Planning

Advice

  • (61 Contributions,
  • 0 Best Answers,
  • 11 Helpful)

Contributions are sorted newest to oldest.

When to apply for FHA loan?

Answer

I always suggest talking to a lender very early on to make sure what you think is possible, really is.  Next, we have many Minnesota first time home buyer programs available too. I have one that only requires you put down $1000, and the rest of the down payment is from an assistance program. Finally, you don't have a house payment the first month after closing, so you could close in May and not have rent and a house payment for June.

  (1)
How do we get approved when lenders are using the oldest FICO model & we can't "see" scores??

Answer

There is a gigantic problem with the typical credit score most people see when getting their "free credit report", or anything directly from the credit bureau.The most simplistic way to explain it is that there are many different types of scores, which are basically weighted to the industry pulling your score. So in theory, if all on the same day, you got a mortgage credit report, a car dealer credit report, a credit card company credit report, and your "free credit report, they could all have different scores.My general advice to people working on increasing their credit score is to simply do everything they possibly can first.  Once they have done everything they can, then, and only then, make application with your mortgage broker.  At that point, it is what it is...  If it works, congratulations.Good Luck

  (0)
How do we get approved when lenders are using the oldest FICO model & we can't "see" scores??

Answer

There is a gigantic problem with the typical credit score most people see when getting their "free credit report", or anything directly from the credit bureau.The most simplistic way to explain it is that there are many different types of scores, which are basically weighted to the industry pulling your score. So in theory, if all on the same day, you got a mortgage credit report, a car dealer credit report, a credit card company credit report, and your "free credit report, they could all have different scores.My general advice to people working on increasing their credit score is to simply do everything they possibly can first.  Once they have done everything they can, then, and only then, make application with your mortgage broker.  At that point, it is what it is...  If it works, congratulations.Good Luck

  (0)
Can I use my new jobs income to qualify for a higher mortgage?

Answer

Without a full review of your full file, it is always hard to 100% answer, but...  If you've simply switched your "main" job for another "main" job, there shouldn't be any issue whatsoever in using the new job to qualify IF you are an hourly or salaried person.  If there is commission, tips, or similar pay, this can get tricky if you are not at the current job two-years.If you've added a "second" job, that income will generally NOT be allowed unless you have been there two-years OR unless you have a well documented history of having a second job in the past two-years of same or similar work.Your small business income is acceptable qualifying income, and because of it, you MAY, and I stress MAY, get an underwriter to accept the second job income, but I wouldn't count on it.

  (0)
Can I use my new jobs income to qualify for a higher mortgage?

Answer

Without a full review of your full file, it is always hard to 100% answer, but...  If you've simply switched your "main" job for another "main" job, there shouldn't be any issue whatsoever in using the new job to qualify IF you are an hourly or salaried person.  If there is commission, tips, or similar pay, this can get tricky if you are not at the current job two-years.If you've added a "second" job, that income will generally NOT be allowed unless you have been there two-years OR unless you have a well documented history of having a second job in the past two-years of same or similar work.Your small business income is acceptable qualifying income, and because of it, you MAY, and I stress MAY, get an underwriter to accept the second job income, but I wouldn't count on it.

  (0)
FHA Loan with collection accounts

Answer

My general statement to people is to work on credit repair, and once you've done everything possible, then, and only then apply for your mortgage loan.The general rule on FHA for collections is that $2,000 or more (one, or aggregate total of all collections) is going to generally require things to be paid, or well documented proof of an acceptable payment agreement, with at least a few payments already made. Medical collections generally don't count.

  (0)
FHA Loan with collection accounts

Answer

My general statement to people is to work on credit repair, and once you've done everything possible, then, and only then apply for your mortgage loan.The general rule on FHA for collections is that $2,000 or more (one, or aggregate total of all collections) is going to generally require things to be paid, or well documented proof of an acceptable payment agreement, with at least a few payments already made. Medical collections generally don't count.

  (0)
Tax Transcripts

Answer

Amended tax returns DURING THE PROCESS is a major issue.  First, lenders can't get transcripts on the amended return.  All we can get is the original transcripts, We would also need to see both the original and amend return.  If you have a VERY LEGITIMATE reason for the amended return, you might be OK.  If you've amend your return to reduce deductions to increase income to attempt to income qualify, you are probably going to be denied.If you amended your return PRIOR to application, and especially the longer time period before application (6 months or more), the less lenders are concerned about it being amended, and about fraud to qualify.Final approval and Clear-to-Close are essentially the same thing.Good luck!

  (0)