My wife and I had jobs when we applied for our loan. She has now lost her job and we closing on our new house in 1 week. Will we now lose our loan and lose the house? If we lose the loan, do we also lose the deposit we put down for the house? Help please. What if anything can we do?
your Realtor should be able to answer all these questions for you based on the contract they helped you write.
I’m unemployed, but my FICO score is great and I have alot of cash reserves plus I own a home.
My lender says it “won’t be a problem” in buying a second home for investment.
I don’t know of any lenders who will give you a loan without a job or other forms of income.
You can get around the issue of being unemployed if you obtain a NINA loan (aka No Documentation). The lender will simply ask you for a copy of your driver’s license and social security card (along with filling out the application of course).
But again, no income/asset information is obtained. Typically, one has to have a midscore of 680 (for 100% financing of this documentation level). Or if you are planning to put 10% or more down, then a 660 midscore is accepted.
Hope that helps!
That is true, but the NINA loans I have done still require you to state on the loan application who you work for, they just don’t verify. Do you know of a lender who is different?
Hi RJ. I don’t know if you got my instant message on this topic, but just in case you didn’t, we do not require any information like that at all on the application. Only info other than name, social, contact #'s, etc. is a 2 yr history of residence (as is standard). Other than that, we require a copy of his/her driver’s license and ss card. This loan is based specifically on credit scores and adequate trade lines for the investor. Hope that is helpful.
if your closing on the loan in a week, i would think tht income, and everything has been verified and there shouldnt be a problem. Am i not correct? If I were you though, i would not go through with it if you are not going to be able to make it. If the wife can get another job and your able to make the payments (or if your able to) go for it. Best of luck to you!
Even if the lender has obtained a verification of employment, there is still a verbal verification of employment that lenders have to obtain 5 days before closing. It would definitely be cutting it close.
To Aquollie: if you must close in one week, there are lenders that can accomplish this. (Even if you must take the No Doc loan). They would consider it a Rush file, and would push it through underwriting quickly since you already have most of the work done on the loan by the other company. It is an option if you guys are in serious need to get it done.
This may be a situation (close in 5 days) you need a Hard Money Lender to bridge the deal and get it closed. You will have to pay more for the loan but they will lend 65%-75% based on the property value only. You may initially have to classify it as an investment property not a primary residence, but you can get it closed and refinance after you own the property. BE Aware, this may cost you 3-6 points on your property!!!
if the loan is closing in one week then you might be in the clear just because the underwriters by this point have their paystubs and are under the assumption that you are still working. If they ask for another pystub then you might run into a problem.
Also GMAC does a NINANE ( no income no asset no employment loan) the rates are pretty decent also if your scores are up there.
NINA = no income information (no employment info) and no asset information obtained whatsoever. It is based soley on credit score and adequate trade lines (or alternative credit lines).
For those not so up on mortgage lingo, there may be different terms for different lenders. But, if you ask about a No Doc. loan, specify that it is true No Doc. (only copy of driver’s license and ss card required, and a 2 yr residence history).
No doc loans do not require ANY employment information. If your credit score is good, you should still be able to keep the house. If you are going No doc, you will have to put at least 5% down on the house. I am doing a No Doc loan right now for someone who also has no job and he is 2.5 yrs out of bankruptcy! His credit score is a 660 and we are going 95% on it with no PMI. Don’t worry, you should be ok. Also, if they did the VOE already you may still be ok with the loan you have although sometimes they do check at funding. Good luck.
Shaun
Shaun, there are 100% No Doc loans available…even for investment properties.
Oh my mistake, sorry, No Doc can go up to 100% financing for primary residence, but there are programs where one can obtain 100% financing on an investment property with a doc level of State Income/Stated Assets.
My mistake.
You got it. 8)