Posted on: 19th Mar, 2009 10:03 pm
I have excellent credit (above 800), a healthy bank balance, have always been current on the mortgage payments for my single-family house, and have more than 20% equity on it. I do not have any other loans or debts. I lost my job last month and have started my own business. Therefore I am regarded as "self-employed". My current fixed rate 30-year mortgage is with Wells Fargo and I would like to refinance my house to take advantage of the much better interest rates out there now. However, I have been turned down by a lender as I do not have the minimum 2-year "self-employment income" that they ask for, or a "verifiable source of income" since I lost my job last month. What are my options for my refinancing application to be positively considered? Thanks!
Unfortunely there isn't. FHA will make exceptions at 1 year, but I don't know anyone besides private money and their rates will be ridiculous. If you don't have an insane interest rate I would stay where you are at.
the only light i see at the end of this tunnel would be a portfolio lender, such as a local community bank or credit union. if you have one or more of those in your area, then check them out. anyone selling mortgages on the secondary market is subject to the guidelines you are up against, but a portfolio lender will generally go by common sense in lieu of the guideline. of course, your self employment income is going to have to be verifiable. how long did you say? a month? if that's true, then ashley is 100% right in suggesting you stick to what you've got.
I can help. Email me!
MSmith@PrecisionFundingUSA.com
M
I am on line now!
MSmith@PrecisionFundingUSA.com
M
I am on line now!
don't pay attention to him, please.
Thank you Ashley and George for your replies. It is much appreciated.
Regards,
Jasmine
Regards,
Jasmine
I have a similar case but after self employment, I couldd not repay the loans for 6 months except one in the middle. All my income sources are in place. But they find next date every time. A time will come I will have all those payments accumulated in time and they are sure. I am confident on the situaion but, no bank will accept this. The score has to drop. Another case is that I had a loan in my name instead of my partner andd this affected me badly. Despite of our very good relations I am the culprit. I have no complaints with hem though.
But I want that score to have a stopper. Would it be better if I borrow from elsewhere, rapair the credit, and then take another loan and lastly repay those borrowed money? It is possible for me to get them privately, but I need to know what is the probability that I will get the loan within one year, as I am self employed and situations will be better in 4-5 five months maximum?
But I want that score to have a stopper. Would it be better if I borrow from elsewhere, rapair the credit, and then take another loan and lastly repay those borrowed money? It is possible for me to get them privately, but I need to know what is the probability that I will get the loan within one year, as I am self employed and situations will be better in 4-5 five months maximum?