As an appraisal is only an opinion of value, it would be pretty hard to win. I know there are some bad appraisers out there. I ran into this once before on an FHA loan and here's the worst part...that bad FHA appraisal now stands for a year. You can't just go get another one. In our case, we had to turn away all FHA buyers, while we waited for a VA, Cash or Conventional buyer, in a predominately FHA neighborhood. Really slowed down our sale. It's a broken system.... more
My suggestion, in Albuquerque, is to contact a local lender with a strong track record who can answer your question to a high degree of certainty, not just as to credit score, but fully and completely. Here are two names for you:
Jason Pike, (505) 898-2400. First Mortgage Company. I have worked with Jason and he had done a good job.
Ben Lucero, Indigo Mortgage, (505) 836-5700... more
I would recommend starting with Dean Ellison with Frost Mortgage. He can be reached at 505-362-1587 or email email@example.com. He will provide necessary information and options regarding financing and address any issues that you may need to resolve. Other Realtors have provided a lot of great information. Make sure to discuss your options with a couple lenders and then develop a plan for moving forward with your Realtor in your home search and purchase.
I would appreciate the opportunity to meet with you and discuss further.
NM Real Estate Now
Bonus & commission income is averaged over a 2 year period. So if you are paid W-2'd income for 2 years, and if it is all bonuses & commissions, then a 2-year average of bonus income would be put into one category, and a 2-year average of commission income in the other, and then added together. It also has to be analyzed to see if there was a major increase/decrease in either category from one year to the next, as if there is a severe change it may result it only the most recent year being used or not being used.
1099 income is self-employment income like Alex laid out as it is reported to Schedule C of your personal tax returns, and most lenders require 2 years of self-employment income. So if you are paid 1099'd income, and the composite of your 1099 income is bonuses & commissions, it is all just reported as income - there is no further analysis to determine if it was per contract income, commission income, hourly rate income, a 1 time payment of income, etc... it's just simply self-employment income. The income is analyzed like Alex indicated, your gross income minus any actual expenses you claim on your Schedule C.... more
Absolutely. In fact, we can do better than HARD Money. I've got a portfolio lender I work with who will consider non-conforming properties like this for their portfolio. Rates are in alignment with regular conventional mortgages. I'm happy to help.... more
There seems to be some some steps missing between the pre-approval approval and being denied a loan a on the day of closing but based on the limited information provided, the answer is no. A pre-approval only is not a loan commitment, there is no recourse.... more