Pretty large problem -

Our mortgage company does not want to give us the green light to close because Vinny is not a tenured teacher. That's it. That's what is holding us up.

We spoke with another mortgage company who took allllllll of our information and told us that we would have no problem proceeding with them and that Vin not being tenured yet has nothing to do with anything.

Our contract states that we have to be closed on/about March 15 which can go to the latest April 15. There's no way this new mortgage company can get it all together that fast.

He said the fastest is three weeks but to ask for an extension of six.

Now our lawyer has to ask the seller for an extension.

OVER TENURE.

People who just work normal jobs that don't have any type of tenure -- where is their job security?? DH's cousin just got laid off last week - he works in the Insurance industry - no type of "tenure" exists for him. This is what I don't get - DH could have had his job in Insurance, he would have gotten approved and then lost his job anyway! DH's cousin just bought a new home only 6 months ago, as a matter of fact!

I just don't get it.

I'm this will work out or we lose everything.

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Doesn't make sense. Even a tenured teacher can lose their job, right?

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Message edited 4/7/2010 6:01:09 PM.

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I'm with you. w.t.f???

The only thing I can think of is: does he have a tenure-track position? Or it it a leave replacement? If it's a leave replacement, he's essentially unemployed in June. If it's a tenure-track position, then it's like you said - he has a steady job with a guaranteed income just the same as an insurance agent, a lawyer, or a... mortgage officer.

Message edited 4/7/2010 6:08:33 PM.

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Re: Pretty large problem -

what about a letter from the district saying that he has a job for next year? they would know that already right???

and that he is on track for tenure???

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Message edited 4/7/2010 6:22:23 PM.

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we have no choice but to start over and go with a new lender.

thankfully, we have one right away who told us it is no problem.

we have all of the paperwork from the first lender -- our commitment, everything.

i just can't believe this and the seller has to agree to extend it and wait the 4-6 weeks.

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right now the mortgage cos are being crazy about everything. THey wouldnt give me and DH a mortgage because I am a 1099 employee and make way more than DH but because I might not have a job tomorrow they said no so we had to get it based on DH.

Try all kinds of different situations, get letters fromt he school.....and even maybe a co-signer.

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that's ridiculous

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Wow I have never heard of anything like that, no ones job is secure not even the unions anymore so why would him having tenure have anything to do with you getting a mortgage. Maybe you should speak with a higher up in the mortgage co you are going through, there has to be something else they are not telling you, it just doesn't sound right....

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That is really weird...

The only thing I can think of -- is that they like to see you've been at a company, etc, for at least 2 years.

But it still doesn't make any sense.

Mortgages are usually only denied due to poor credit, or not enough income coming in. My lender made us show him bank statements for a good amount of time, just to show that no one "gifted" us money, because he said while that's fine, the company needs to be SURE we pull in x amount of money.

What lender is this?

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I keep googling this for stuff to come up, but I've never read that anyone had this issue.

You are allowed to request a written request as to why you were denied. This is super weird & I hope it all works out.

Mortgage lenders are usually in business to GIVE you the loan. Sure, they are more strict now, but they still want to be your lender. Very odd.

Sending tons of good vibes!

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Ok, did some more thinking.

I just saw on another recent post you wrote that both your parents and your ILs had to sign a gift waiver - that they gave you money not expected to pay back.

It could be that while the lender sees he has a job, he is still relatively "new", and while they see you have extra cash in the bank, it's not from your job.

For example, if you made (just using nice round figures here for it to make more sense) 80k a year, and DH made 80k, and you had 50k (including your gift money) in the bank, that's great.

However, if you only make 20k and DH makes 80k, and your 50k in bank includes savings and gift money, well, if he lost his job, it'd be hard to make ends meet with your income.


(playing with random figures here)

My lender was so strict on that - he said not to embellish or anything (not saying you did at all) or else it would come back to bite us at the last moment.

He wanted to see we personally saved X amount and were able to save after our outgoing bills every month.

Gift money is cool, but it's not earned income, KWIM? Unless you can buy a home out right with gift money, they don't look at it as "real," meaning, it's not the fruits of your labor, it doesn't come in biweekly, it can't ever get an annual raise or promotion and increase and be a steady flow of cash, etc. KWIM?

This is bothering me..I really want this to work out for you, and you deserve the right answer here. It's a ridiculous reason to deny a person a mortgage - if your credit score is great, decent salaries, etcc...makes no sense.

Keep us updated!!!! I'm on your side

Message edited 4/7/2010 8:47:13 PM.

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Seems crazy, what company is this? They should have mentioned this months ago when you got pre-approved! Let me know if you want a reco. for the person we used, we closed in a month

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Didn't they know during the preapproval process he wasn't tenured and had only been at current job of for X amount of year or months?

I'd love to hear what lender this is, for my own benefit

I went to Continental, based on soo many reccs here, and Beth who I think said they dealt with the most FHA's on the island last year (even though i'm doing a VA) but still...geez!!

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the banks are getting insane with their requirements. Every day we get a new request. We have good stable jobs and excellent credit, and still we are jumping through hoops. Good luck to you.

I am sure the sellers will extend, otherwise they would have to start all over anyway.

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OMG! That is SO scary that something like this can happen so close to closing.....let me know if you need a new mortgage guy - the one we are using right now is fabulous! He is with Wells Fargo.

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Posted by rileysmama

Ok, did some more thinking.

I just saw on another recent post you wrote that both your parents and your ILs had to sign a gift waiver - that they gave you money not expected to pay back.

It could be that while the lender sees he has a job, he is still relatively "new", and while they see you have extra cash in the bank, it's not from your job.

For example, if you made (just using nice round figures here for it to make more sense) 80k a year, and DH made 80k, and you had 50k (including your gift money) in the bank, that's great.

However, if you only make 20k and DH makes 80k, and your 50k in bank includes savings and gift money, well, if he lost his job, it'd be hard to make ends meet with your income.


(playing with random figures here)

My lender was so strict on that - he said not to embellish or anything (not saying you did at all) or else it would come back to bite us at the last moment.

He wanted to see we personally saved X amount and were able to save after our outgoing bills every month.

Gift money is cool, but it's not earned income, KWIM? Unless you can buy a home out right with gift money, they don't look at it as "real," meaning, it's not the fruits of your labor, it doesn't come in biweekly, it can't ever get an annual raise or promotion and increase and be a steady flow of cash, etc. KWIM?

This is bothering me..I really want this to work out for you, and you deserve the right answer here. It's a ridiculous reason to deny a person a mortgage - if your credit score is great, decent salaries, etcc...makes no sense.

Keep us updated!!!! I'm on your side

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OK - sorry, I was out for my birthday. Some birthday.

Anywho, we spoke with the lender again - this is Wells Fargo, by the way. This is NOT an FHA loan because we are putting 30% down. That is the money that was gifted to us. We also have a certain amount in the bank of our own money... and then we saved the closing costs on our own.

Everything was on the up and up - we got the approval, the commitment, etc. I spoke with the processors, their managers, etc. Vin spoke with them. They would have told me if it had to do with anything else.

The most recent convo I had - the manager said, we just need to feel secure that he will have a job in three years -- we need to know that he will have GUARANTEED EMPLOYMENT FOR THE NEXT THREE YEARS.

Those were his exact words. That is the only reason.

Why this was not brought up to us sooner? - NO ANSWER.



Our new lender says none of this matters. He says that when you work with a bank it is very strict and they have ridiculous requirements that they input for some people yet they make exceptions for others. For us, they just happened to be stuck on this and won't let up.

This was a 'conventional' loan, by the way. Although they mentioned FHA about 30,000 times. Maybe they want us to go that way?? But we didn't want to pay PMI if we didn't have to -- and with the amount we were putting down there's no reason.

Our new lender said this is not a problem at all.

But who knows what to believe now?!

Message edited 4/8/2010 12:01:26 AM.

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Your putting 30% down and they are giving you an issue....that makes NO sense what so ever

You can get a stated income loan with 30% down and good credit (stated income means I tell you I make $200k a year and I don't have paystubs to prove it)

I think some one messed up

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We are putting down 20% with Wells Fargo doing a Sonyma loan........we had little issues with numbers having to do with DH with his overtime at work & my student loans, and nothing has ever been a real problem. This just sounds so strange, I feel terrible. I wish they gave you more options or other things to do - it seems so cut and dry what they want, but in this economy it's not!

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that stinks im so sorry to hear i hope your extension is granted w/ no problems!