FHA Loan and Staying Home with Kids?
My husband and I are looking into buying a house with an FHA loan. We have sent our info out to a lender but havent heard from her yet- just wondering if an FHA is possible since I was staying at home with our son for the past year. I've been working a part time night job for the past 2 months. Does that disqualify me from the FHA req'rd 2 years work history? I only have a year and a half before that. And what is it that they are looking for in our bank statements?
Sorry I am just impatient! : )
- Anonymous1 decade agoFavorite Answer
An FHA loan requires 2 years employment history for at LEAST one borrower. If you do not have 2 full years of employment dates that is FINE - however, your income can NOT be used to help qualify for the loan. You can still be on the loan they simply will not use the income when looking at debt ratios.
What we use bank statements for is several items, FHA requires that you use 500 of your own funds - we need to VERIFY you have at least the 500 in a checking/savings account and that you have had it for 60 days. If you have not had it for 60 days you will need to 'explain' how you have it now (tax refund, sold a car etc) you can NOT borrower the money or get a 'gift' from family for that 500.00 requirement.
Are you in a sales contract now? If so, call your lender right away, if not, wait no more than 3 days and call the lender. Your lender should be working FOR you, even in the pre-qualification stages. If your lender is NON responsive to you now, it only gets worse. Find a different lender, one that will call you, and work for you during this process. FHA loans require a little more time and paperwork but that afford many buyers a GREAT opportunity to become home owners.
Hope this helps and Good LuckSource(s): 5 years mortgage banker 15 years financial controller
- 1 decade ago
That's true, your income won't count unless you've been on the job longer. They can start counting it after a year, but they want to see a 2 year history. Either way your part time job won't add into the loan figures.
The bank statements could be to verify the down payment, they could also be to verify deposit of funds from things like Social Security income,
The bigger point here is that during this whole process you should NEVER feel like you don't know what's happening or what information was used on your loan application (i.e. your income) Any professional should be explaining this to you step by step. Let's be honest, that's pretty much their entire job. If you do feel that way you may want to start looking around for other lenders in your area.Source(s): mortgage broker
- 4 years ago
Loan documents go through a series of processes and the loan can take up to closing before it is approved. The loan requirements can change on a daily basis and that is why you are at time requested to give more information or even asked to bring more money in. If the closing date is January 18th and because of the holidays,I would make sure the kids are able to enter school on time, if you are thinking of leaving your present job give at least a 2 week notice, call the utility companies and tell them that you have a pending closing date so they know not to turn off the utilities (they should be on in your agents name) just change names,etc. Relax, there isn't really a timeline,per se, because of all the daily changes that have to be followed but you will either close on or before Jan. 18th unless another issue comes up. Always be prepared for that date so you don't try to move in with no utilities or worst (if people are in the house) that they are gone, if house is trashed, etc.
- AnOrdinaryGuyLv 51 decade ago
I doubt that both parents need to have a 2-year job history before qualifying for an FHA loan. I think just one person does, so that would have to be your husband. It seems to me that whether you will qualify for the FHA loan will basically depend on your husband's credit record and financial situation.
As to the bank records, this is normal. One reason they do it is to make sure you don't have major obligations to someone else. If you suddenly had a large deposit to your account which you intended to use as the downpayment, it would raise questions about where it came from and whether it was a loan you'd have to repay--which in turn, would affect the ratio of your monthly payments to your monthly income.
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- jim boLv 61 decade ago
. You'll definitely have to ask the FHA about that. They're as 'bad' as the IRS about regulations.
Bank statements; they just want to make sure you're not hiding any $$. And extra large withdrawls lately?Source(s): http://www.fha-home-loans.com/loan_qualifying_fha_... , http://www.fha.com/fixed_rate.cfm ,
- 1 decade ago
I am a 7 year FHA processor. If you are purchasing in Georgia or Virginia, please contact me at email@example.com that I can assist you.