I loan modification is held against you for 3 years.
Your approval was that a commitment? I don't think you had a commitment since no underwriter would have signed that commitment. Also your FICO is too low for Fannie Mae. They require 680+.
I feel you recieved a preapproval from a mortgage originator-not worth the paper it is written on.
You do not qualify for a mortgage until 3 years has passed from your modification and the lender puts down that you have paid as agreed for 36 months you are nonmortgagable.
What is the explanation that your broker gave you? I am curious how the mortgage appears on your credit report. Did you stop making mortgage payments during your loan modification? Are you refinancing with the same lender that owns your loan now. There are some missing pieces to the puzzle here.
Feel free to call should you want to talk about it.
Universal Capital Mortgage Corp
Did you remoe your loan contingency for the new property?
Loan modication has killed many deals. The lenders say something, do something and report something.
You should be really talking to a real estate attorney, to find the best course of action, if you feel, the new home is worth the time and money you will be spending.
Do you think the seller will give you time to sort out the issue without loosing your deposit.
NMLS - 327086
I would suggest speaking to your realtor and loan broker to see if there are any alternatives for you. If Homepath or whichever loan you are using isn't going to work, see if the loan broker knows of another lender who may be able to do the loan so you don't lose out on this house. Best of luck, Caroline