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/biz/ - Business & Finance

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49599621 No.49599621 [Reply] [Original]

>buying a house
>by which I mean fighting tooth and nail for one for over a year now
>bank approves loan for between $250,000 and $400,000
>find a house for $199,000
>make an offer
>owner accepts
>try to put down 20% payment
>down payment has to be 33% because of some shit with credit history not showing up or something
>okay fine whatever
>sign contract
>house is appraised
>everything's good to go
>inspection happens
>all negotiations done
>fast-forward a month
>closing is this Friday
>wife gets a call from the bank
>something's wrong
>despite having income that's nearly triple the monthly payment, the down payment somehow isn't enough
>lender says we have no credit score (we do)
>this is despite plenty of past bank transactions with checks, debit, and shit like that)
>bank is now demanding 50% down in addition to closing costs and money leftover to cover the first several months of payments.

How is this legal? We've been saving up for years just to get this far, and inflation is quickly outstripping the progress we've made. I don't know what to do.

>> No.49599730
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49599730

they're afraid to lend money because the entire market is torpedoing. the credit is just an excuse.
welcome to 2008 on steroids.

>> No.49599783

>>49599621
Bank goons could walk into your shitty apartment, rape your wife, beat the shit out of you and you'd be assassinated if you even attempted to take them to court (which wouldn't side with you anyway.) You're a worm, you don't get to own property.

>> No.49599857

>>49599783
>apartment
I fucking wish.

>> No.49600773

The bank will only write you a loan if they think they can pawn that loan off to some other investor for the longest time that was the FED, but now the music has stopped and no one wants to buy an MBS.

Keep your cash, live out of your car, and buy back in in somewhere around 3-10 years.

>> No.49600858

>>49599621
Checks and debit do not build credit.

>> No.49601000

>>49600773
I can't do this for ANOTHER 3 years, man. And the rental scene is even more bleak. At least with the house, we were able to get in the front door. Landlords just say to fuck off or fill out an application unless you have 0 pets, a credit score of 837, and a monthly income of $12,000 before taxes.

>>49600858
Except I DO have a credit score, as I said. Or at least, I have the kind you can check online. But that one doesn't count for houses. Who fucking made this system?

Yeah yeah, I know (((who))) made it, but you get what I mean. This is ridiculous.

>> No.49601053

>>49599621
first house?

>> No.49601158

>>49601053
That's the truly bizarre thing: it's NOT.

>> No.49601172

I don't understand, did you not have a contract? Is the bank not breaching said contract?

If you are in love with the place, get an outside loan for a bit to make the difference, in a few months use your equity to find a better loan/pay off that downpayment increase.

>> No.49601288
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49601288

>>49599621
>How is this legal? We've been saving up for years just to get this far, and inflation is quickly outstripping the progress we've made. I don't know what to do.

>> No.49601451

>>49601172
Yes, we have a contract.

>> No.49601633

>>49601451
Call a lawyer, might be the best $300 consult you can get. Have them look over the contract.

>> No.49601741

>>49601633
what? youre an idiot. The contract is between the buyer and seller, and is contingent on the bank extending financing. The bank has NO obligation whatsoever to extend financing.

>> No.49602406

>>49599621
yuropoor here, why not take credit with another bank?

>> No.49602410

>>49599730
I have lenders falling over themselves to lend me money the second I show any interest at all. OP just sucks.
t. high income, perfect credit

>> No.49602460

>>49599621
save my fren, the crash will make things super fucking cheap. just sit tight and wait.

>> No.49602554

>>49599621
If you can work remote, just move to Europe and buy a 4 bedroom house with a garden for $60k.

>> No.49602566

>>49599621
40% done with my real estate training, your income either isnt stable enough for the bank or your shit credit history shows that you may be unreliable for paying back the mortgage.

>> No.49602595

>>49601158
Funny enough I got my 4 bed 2 bath at height of covid for 245k at 2.5% rate with 3% down going through the builder directly.

>> No.49602643

>>49602406
you have to disclose this when you start a mortgage application
you're not supposed to take additional credit in order to be able to qualify for a mortgage

>> No.49602738

>>49602554
Maybe somewhere in Romania.

>> No.49602962
File: 1.16 MB, 2048x2048, the-skyline-of-brasov-romani1a974a.jpg [View same] [iqdb] [saucenao] [google]
49602962

>>49602738
>like that's a bad thing
If you got a wife, it's a decent place as any to raise kids

>> No.49602995

>>49599621
>33% because of credit
>50% down because of credit
Anon you're not telling the full story. How fucked is your credit that you were asked for 33% down and knew you had no way of pushing back? I bought my place this year and only put 10% down. But then I've got an 800 credit score.

>> No.49603068

>>49602406
Because America is a shithole country.

>> No.49603077

>>49599730
2008 wasn't an issue of people being rejected because of a market down trend. 2008 was people getting loans too easily that they couldn't afford even in the best of times. I don't think you realize that all ships are sinking right now but real estate is sinking the least. Which in turn means it's going to rise even harder when people finally capitulate and the recession starts.

>> No.49603135

>>49600773
Fannie Mae buys the loans, not the fed.

>> No.49603137

>>49602995
I bet he has 100k in credit card debt from fucking street prostitutes in southeast asia.

>> No.49603174

>>49602566
>income isn't stable enough
Literally impossible. If my income stops, it means the entire system has collapsed.

>shit credit history
The credit score that doesn't count is 660. Not perfect, but it's certainly not a red flag - especially considering it's been very stable for years. Even the lockdowns only knocked about 60 points off it.

>>49602995
I'm telling you, aside from a few months of missed and late payments, my credit is fine. It's always been fine. Getting blindsided by Covid shouldn't nullify years and decades of paying shit on time and living within our means.

>> No.49603208

>>49601000
What's your credit score? What is your annual income? How much debt do you have? Have you recently filed for bankruptcy?
Answer these questions instead of just saying "I have credit" which means nothing.

>> No.49603236

>>49603137
They were all tranies by the way

>> No.49603256

>>49599621

Triple the monthly payment is shit tier house poor. You are getting a loan beyond your means is the problem, if you have ANY other outstanding debt or plan to.

28% is considered the MAXIMUM amount of your monthly intake a mortgage payment should be.

>> No.49603276

>>49603174
>I'm telling you, aside from a few months of missed and late payments, my credit is fine.
That's not fine. What's your actual score. And how big were the payments you missed?

>> No.49603289

>>49602962
kek that brasovood sign

>> No.49603424

>>49603276
>>49603174
>aside from a few months of missed and late payments, my credit is fine
Kek

>> No.49603448

>>49602406
All money for down payments needs to be settled in your account for a while before you'll get approved. They'll ask for bank statements and they want to see that you got the money through your own means and not shady loans or anonymous donations.

>> No.49603458

>>49603208
>What's your credit score?
660

>What is your annual income?
A little over $40,000.

How much debt do you have?
As far as I know, none. I've paid off the shit that I fell behind on because of the lockdowns.

>Have you recently filed for bankruptcy?
No.

>> No.49603559

>>49603174
Im assuming your credit is around 620 and your credit is all probably based off small transactions instead of car payments and student loans. Shop around at other banks if what you claim is true you will get a loan. Also you did get a no mortgage contingency right?

>> No.49603580
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49603580

>>49603174
>660
>Not perfect, but it's certainly not a red flag
Jesus fuck Tyrone are you ok? You think 660 isn't a bad credit score? Yeah if I were the bank I'd demand 90% up front. What's your income?

>> No.49603679

>be op
>Have no credit
>Any lines of credit you do have you miss payments
>Try to get a loan on a home outside your means
>Wonder why the bank tells you to fuck off

>> No.49603693

>>49599621
>>49599730
Even worse, if they delay the sale and somehow force a restart it will be at a much higher interest rate.

>> No.49603782

>>49603580
Are we talking about the same thing here? Because every site I've checked and everyone I've talked to generally agrees that 660 is in the good range.

Is this what the lender meant when he said they use a different credit score in real estate? That's the explanation he gave for us having no credit score despite me mailing him the damn thing.

>> No.49603821

>>49603458
>$40k
you gotta be shitting me lmao wtf. You cant buy a house with that

>> No.49603937

>>49603821
I wasn't planning to.
I was planning to use the $70,000 we've saved over the past few decades.

>> No.49603987

>>49599621

annualcreditreport dot com

Have you actually looked into your credit history outside of casually checking your credit score (which differ depending on the org you're getting it from)? If not, then why are you trying to buy a house, REAL ESTATE, the thing worth more than the USD, and trusting everything the bank/lender is saying to scripture?
Can't tell if larping

>> No.49604014

>>49603458

>660 nigger tier credit

>only like 40k income

>fell behind on debts before

NOBODY is going to extend you credit.

Your max monthly payment should be like 900.

>> No.49604981

>>49603782
No. You're probably looking at credit karma or something to get your credit score. Those scores are just rough estimates that don't really break down why you credit is one way. A knew borrower with good credit history versus an older borrower with mediocre history might both have the same score. In your case it sounds like you have no history and what little credit history you have you've fucked up by missing payments. Especially if it's something big like a car note or rent. A combination of your credit history with your debt to income ratio is telling them no way.
What did you miss payments on?

>> No.49605127

>>49604981

I was late with payments on bills for a few... several, months in a row. But they were paid off once we got our footing again, and they've been being paid off consistently ever since.

>> No.49605196

>>49605127
>a Bill
I'm asking you what the bill was. There's a big difference between missing your cellular bill or medical bills versus missing car payments.

>> No.49605276

>>49603458
>40k
Wow this poor tier even for Spain were I live

>> No.49605291

>>49605196
Oh. No, my car is used. Car payments are retarded. As long as the damn thing has wheels and isn't on fire, I don't care about how shiny it is.
I mean 'normal' bills. Electricity, Internet, heat, shit like that.

>> No.49605330

>>49602410
I get 10 credit card and personal loan offers in the mail per week. Amex platinum, other """higher end""" stuff. 810 credit score, $50k income. It's spooky. Nobody is borrowing anymore.

>> No.49605591

>>49603782
>Because every site I've checked and everyone I've talked to generally agrees that 660 is in the good range.
lol

>> No.49605651

>>49599621
>How is this legal? We've been saving up for years just to get this far, and inflation is quickly outstripping the progress we've made. I don't know what to do.
if they are being picky with their lending, maybe there is hope for the economy after all

>> No.49606061

>>49605291
You make 40k trying to get a loan for 200k when you can't even make a few hundred dollar payments on time and your credit score reflects that. The most you can afford is about 120k. If you got approved, which for your sake I hope you don't, you'd be extremely house poor. Don't do it. Look in a cheaper area and figure out your finances.
Get a credit card and actually pay it off every month. Use it like you use your debit card. You'll pay zero interest and get a non nigger tier credit score just got paying for coffee.