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5 Day Rectal Exam for Mortgage

MBKMBK Member Posts: 2,918 ✭✭✭
edited March 2015 in General Discussion
Jeesh,

I have been digging up all sort of documents to enable us to co-sign with our daughter for a starter 2 BR condo. There is 20% down.

FNMA used to be happy to toss 100% to any illegal with a power mower.

Due to Homeland Scrutiny I have to prove that we don't own All of the BP Prudhoe Bay pipeline LLP, just 0.0009%. And not all of Ferrellgas Partners, just 0.00008%. ( In modern day Homeland, the less you own the better...because it is less likely money laundering. )

And that I carry insurance on certain property I own free and clear. And how come I can actually live without a pension or wages? ( been retired 26 years ).

Also weird. I can't actually have a 950 credit rating even though we have 20 years of perfect credit behavior. There are un-encumbered assets form the sale of my software company in 1989. Those don't count, but what counts against me is that I have no W2. Jeesh, I am almost 73!

Lastly, with all that guarantee power, the whole F'n loan gets a crummy score because while our Daughter got a "free Credit Score" number in mid January of 770, then collected $42,000 in a divorce split, used about $4k to pay down a CC for her furniture, the stupid CC Score company (one of the three) knocked her down to 700. AH loan company owner says, " Of Course, when we underwrite, we rate off the lowest combo score"!!!

Comments

  • Don McManusDon McManus Member Posts: 23,695 ✭✭✭✭
    edited November -1
    Went to get a loan for remodeling a few years ago.

    Went for 10% of home value of a house with no mortgage. After three days of new info requests, decided the 1.5% rate wasn't worth the headache, and we paid cash.
    Freedom and a submissive populace cannot co-exist.

    Brad Steele
  • ChrisInTempeChrisInTempe Member Posts: 15,562
    edited November -1
    My FICO has stayed ocer 840 for years. I tried to refi on a manufactured house affixed to a foundation, which I provide for disabled relative. Mortgage holder had sent me a refi offer that looked really great, as they have the current loan.

    Tons of paper later, months go by, on-site inspections passed perfectly.

    Suddenly they say they do not make loans on such properties.

    Well thanks for burning up six months of my time!!!!!!!!
  • spasmcreekspasmcreek Member Posts: 37,717 ✭✭✭
    edited November -1
    i was told the credit score you get is different from the one the banks use.....had an 825 score when bought lake place and did it in a two year pay for tax purposes ...no other debt and when paid score went to 815 ????????????....don't give a damn about a score...haven't owed a dime in 18 years....
  • nmyersnmyers Member Posts: 16,892 ✭✭✭✭
    edited November -1
    The best FICO score is 800.

    But, some folks get "extra credit" for good behavior.

    Neal
  • Don McManusDon McManus Member Posts: 23,695 ✭✭✭✭
    edited November -1
    Have no idea what my score is.

    Haven't carried debt for over 20 years, and really don't care.

    Do not see myself borrowing money ever again.
    Freedom and a submissive populace cannot co-exist.

    Brad Steele
  • CaptFunCaptFun Member Posts: 16,678 ✭✭✭
    edited November -1
    When I got my first Mortgage in 1990 it wass about like that. Weeks and Weeks of digging up documents. I think they even gave my HR person a full body cavity search as well. When I bought this house in 2007, it was a one page document and a handshake. They also gave me a $250k signature loan as a bridge until the old house sold. The whole process took 20 minutes. That was of course right before the bottom fell out of the market. After seeing how easy it would have been to scam a loan I can see why. And I'm not surprised to see that the entire process has swung back the other way.
  • Spider7115Spider7115 Member Posts: 29,704 ✭✭✭
    edited November -1
    quote:Originally posted by nmyers
    The best FICO score is 800.

    But, some folks get "extra credit" for good behavior.

    Neal

    Actually, 850 is the top FICO score.

    score_meter_white_bg.png
  • NavybatNavybat Member Posts: 6,849 ✭✭✭
    edited November -1
    My wife and I are trying to find a house to purchase this week...I sure hope our loan is not as tough as yours! We're preapproved...went through in about 20 minutes. But MAN...I guess it really depends on the lending company. Good luck!
  • mogley98mogley98 Member Posts: 18,291 ✭✭✭✭
    edited November -1
    Ridiculous, if you put 20% down and have the resources you listed a human banker with authority used to write the loan as a no brainer.

    Sadly now humans can't make decisions so if the rules say use the lowest score that is it, they don't really have managers anymore that can make decisions using common sense.



    As for credit scores a great mystery, many people strive for the perfect score and have no blemishes, excellent history, Etc. but can't achieve the mysterious perfect score. From what I have read it doesn't matter from about 770 up it is the same interest rate.

    as for the 700 score of your daughter I'm surprised they would deny a loan on that, if I'm not mistaken that is above average.
    Why don't we go to school and work on the weekends and take the week off!
  • MBKMBK Member Posts: 2,918 ✭✭✭
    edited November -1
    They didn't deny, they just said "due to risk, the rate will be higher".

    But it is weird, I have enough cash in money markets to buy four of these condos with no loan. I have kept this cash reserve ever since 2007.

    I am also pretty sure that if you indeed attempt to buy a property without a mortgage, Homeland Insecurity will examine you fully to see how you managed to save and invest, just like we were taught.
  • OakieOakie Member Posts: 40,565 ✭✭✭✭
    edited November -1
    quote:Originally posted by MBK
    They didn't deny, they just said "due to risk, the rate will be higher".

    But it is weird, I have enough cash in money markets to buy four of these condos with no loan. I have kept this cash reserve ever since 2007.

    I am also pretty sure that if you indeed attempt to buy a property without a mortgage, Homeland Insecurity will examine you fully to see how you managed to save and invest, just like we were taught.


    Just asking, but why don't you pay cash for the condo and hold the mortgage for your daughter??? Just put a stipulation in your will that upon your deaths, if you have other children, that her end of the inheritance counts towards the remaining mortgage. If she owes more then what she would inherit, she has to pay that remaining amount to her siblings. Just a thought. I know I will be in the same boat as you when Chris goes to buy his first home. I will either cosign or loan him the money and hold the mortgage. Only difference is that he is an only child and will end up with everything when we die anyway. Hope it all works out for you guys either way. Oakie
  • bpostbpost Member Posts: 32,669 ✭✭✭✭
    edited November -1
    The Federal Government has the rules, regulations and requirements for mortgages to insanity levels, just what one would expect from them. Christopher Dodd is still looking for his mortgage from the Countrywide days.
  • smhiltonsmhilton Member Posts: 7 ✭✭
    edited November -1
    I live this nightmare every day as this is the business I'm in. It's not the fault of the mortgage company you are getting your mortgage from. It's the fault of the US government.

    Between Dodd-Frank, Fair Lending Regulations, and the new Consumer Protection Bureau, it is almost impossible to give someone a mortgage these days. Been doing mortgages for 30 years with loans that stay in my portfolio and have never foreclosed on a home.

    Was wondering how long it was going to take for someone to blame the mortgage company. I have to explain this every day and it is about to get worse..

    Loan Shark
  • 1BigGuy1BigGuy Member Posts: 4,033 ✭✭✭
    edited November -1
    Sorry it's all such a pain MBK, but it just might be worth it all in the long run...
    It was when we were seeking financing for our house that I found out about my OTHER wife in Florida!
    While that may sound funny, I am not kidding.
    My real wife always wondered why her social security number began with a "2" instead of the "5" that everyone from this region has. Turned out that she shared a name and birthdate with someone in Florida. Both applied for their number about the same time when they turned 16 and were entering the job market. So the SS office gave them both the same number.
    It took us TWO WHOLE DAYS in the Social Security Office to get it all straightened out. I swear those people have been surgically altered so they are unable to smile. . .

    I hope your situation give you fewer hassles than ours did.
  • BikerBobBikerBob Member Posts: 2,745 ✭✭✭
    edited November -1
    Reminds me of trying to help our daughter a few years ago.

    We agreed to co-sign on her loan at the bank where we do business and have for 40+ years each. Had our home loan there and had enough money to buy the house there too. Couldn't get the loan for her after it was all pre-approved. She had to be out of her rental and the bank was still jacking us around, with the similar stuff, like where did you get that last deposit?

    Got so pizzed we bought it and sold it to her on a land contract.

    Before that bank was bought out, I went in one afternoon, not quite 30 years ago, walked up to the VP and introduced myself, told him I wanted to by a house, he asked me which house and said he'd looked at it, nice property. We talked about my dad, wife's dad and grandfather, where I worked and how much I made that I was selling a house somewhere else and the company would buy it if it didn't sell in some time frame and he said OK.

    Now I'm worked up again! [:(!] razzle frats!

    Seems life used to be a lot easier, when every one worked hard, and paid their bills and tried to do a good job so you'd get to keep one. And the govt, was happy that you had been in the military and paid your taxes.

    What happened while I was busy working and raising kids?

    Rant over!
  • wpagewpage Member Posts: 10,201 ✭✭✭
    edited November -1
    Thanks Spider... Johnny Cash is your best score...

    quote:Originally posted by Spider7115
    quote:Originally posted by nmyers
    The best FICO score is 800.

    But, some folks get "extra credit" for good behavior.

    Neal

    Actually, 850 is the top FICO score.

    score_meter_white_bg.png
  • bartobarto Member Posts: 4,734 ✭✭
    edited November -1
    I don't have a clue what my credit score is and don't really give a damn.
    Cash rules!
    [^]barto[^]
  • Smitty500magSmitty500mag Member Posts: 13,623 ✭✭✭✭
    edited November -1
    quote:Originally posted by Don McManus
    Have no idea what my score is.

    Haven't carried debt for over 20 years, and really don't care.

    Do not see myself borrowing money ever again.


    Same here. I have one credit card that I use for ordering on Amazon with a low limit so that if it's stolen they're not going to get much. I'd rather be tied to a tree and beaten on a regular bases as to ever owe anybody or any company a penny.
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