kajemarine15 asked:
I just got out of the military last year and am looking to buy a home w/ a VA home loan. I’m in college full time and working for the federal gov’t part time. Because I only work part time my income APPEARS to be very low right now temporarily while I am in college. I have a rather high credit score of 724, but here is the cautch 22. I figure in order to get approved I would have to show a higher income such as adding my wife to the mortgage. But she has very bad credit score. So what do I do? I have the good credit score but temporarily not enough income, she would add to the income but lower the credit score. The funny thing is, the homes we are looking at we could afford easily with our eyes closed no problem. We have been paying nearly $1500 a month rent for the past year on time perfectly and I never miss a payment on anything but do lenders ever look at that kind of thing, perfect rent payment history?
Any advice? Any suggested VA mortgage lenders in MINNESOTA?
Albert
I just got out of the military last year and am looking to buy a home w/ a VA home loan. I’m in college full time and working for the federal gov’t part time. Because I only work part time my income APPEARS to be very low right now temporarily while I am in college. I have a rather high credit score of 724, but here is the cautch 22. I figure in order to get approved I would have to show a higher income such as adding my wife to the mortgage. But she has very bad credit score. So what do I do? I have the good credit score but temporarily not enough income, she would add to the income but lower the credit score. The funny thing is, the homes we are looking at we could afford easily with our eyes closed no problem. We have been paying nearly $1500 a month rent for the past year on time perfectly and I never miss a payment on anything but do lenders ever look at that kind of thing, perfect rent payment history?
Any advice? Any suggested VA mortgage lenders in MINNESOTA?
Albert
Tags: Funny Thing, Mortgage Minnesota, Rent
talk to whoever you want to get the mortgage through. i am closing on my VA loan end of this month and my lender at Wells Fargo was a HUGE help. Whoever you are using as a realtor should also be able to help set you up with someone in lending that is good with Va loans.
The fact is that if you want both incomes considered, any lender will also insist on considering both credit ratings. You can’t have one without the other. So it appears that your choices are to apply jointly now or wait until you finish school and are employed full time.
Why don’t you approach a lender that offers prequalification and see what they say? VA loans are great for the “low down” feature but you still need to meet the lender’s income/credit standards.
It really depends on your wifes credit score. With FHA if she has over a 580, normally that’s not an issue. If it’s over 560, it is more difficult but can be done especially since your credit score is good. 530-560 we can still do but this is a very difficult loan to get through and we have to have some compensating factors.
We work in Minnesota so if you need additional help, feel free to email me. We are a mortgage banker so our guidelines (or many mortgage bankers guidelines) are more flexible than a regular bank.
To qualify for a VA home loan, you must fall into a certain debt ratio. Your income, credit card debts and the new indebtedness created by the VA mortgage are all tallied up to see where you land in terms of debt. The maximum debt ratio you may have and still qualify for a VA home loan is 41%. This is only one factor used to determine eligibility, the others include your reliable income and credit rating. If you are considering applying for a VA home loan, you may wish to make an appointment with a financial planner and debt counselor to see how you might improve your standing in advance of the application process.