Under 640 score, over 55% debt ratio, VA home loan purchase that needs to close in 33 days?  No way?  Yes, Way!! 

So often there are times when someone has some hurdles to overcome when purchasing a home and our team is one that will figure out a way to make the loan work if it can be.  We were just recently faced with the following scenario:

• 620 credit score
• 57% debt ratio
• No money down
• Active duty service member
• First time buyer
• Need to close in 33 days

The buyer provided us with everything requested up-front which allowed us to obtain underwriting approval in plenty of time prior to closing to make everyone feel at ease.  We were able to prove a rent history from the buyer which was paid on time and the mortgage payment is only $80 more per month than the rent which was a huge compensating factor.  Also, we were able to figure a little known way to increase the service member’s nontaxable income to get the debt ratio lowered to a better level.

The end result is that we received the final approval for this VA home loan purchase and the file is closing on-time with the closing disclosure to the buyer over 3 days prior to closing!