Approved for FHA loan BUT not yet approved on Streamline K portion?

Author Message
Icon Mini Profile any0324




Joined: 14 Oct 2008

Posts: 2

2.30 Dollars($)
PostPosted: Tue Oct 14, 2008 8:20 pm    Post subject: Approved for FHA loan BUT not yet approved on Streamline K p

I applied for this loan and brought in the following day several estimates for work (to be) done. This after the LO said a Streamline K was easy to incorporate into the FHA loan process.

I satisfied a few subsequent conditions, and was told I was approved and all conditions cleared. I asked about the Streamline K items and the LO said it was still in underwriting.

The amount is only around 15K and this second underwriting could end up delaying the closing. These are not unusual items (floor coverings, upgrade of electrical panel, adding second zone AC.

From what I read, it is submitted as a package, and should not take 3 weeks to get an answer. If any DE's out there can chime in here, I would greatly appreciate it.

Roland
Icon Mini Profile smithsussane
smith.sussane



Joined: 18 Sep 2008

Posts: 3738
Location: Alaska
561.45 Dollars($)
PostPosted: Tue Oct 14, 2008 8:54 pm    Post subject:

Hi any!

Welcome to the forums!

Yes, the items that you have mentioned fall the Streamline K category. Generally the closing for a streamline loan can take place within 45 days. You can speak to the lender if he can do the things quickly.

Feel free to ask if you have further queries.

Sussane
Icon Mini Profile any0324




Joined: 14 Oct 2008

Posts: 2

2.30 Dollars($)
PostPosted: Tue Oct 14, 2008 9:14 pm    Post subject:

Thank you for your quick reply.

Let me be more specific. The LO said I was approved on the main loan, but awaiting approval on the Streamline K items. I have a loan committment with only the boilerplate conditions in the amount of
the main loan alone.

My question is specifically:

Does the Streamline K portion of the loan need to be underwritten seperately, or perhaps did the LO err in not submitting the 203K items in a timely manner.

I feel that after receiving (manually underwritten by the way) approval almost 3 weeks ago, how could $15K in upgrades delay a loan for this long?

Thanks

Roland
Icon Mini Profile smithsussane
smith.sussane



Joined: 18 Sep 2008

Posts: 3738
Location: Alaska
561.45 Dollars($)
PostPosted: Tue Oct 14, 2008 9:52 pm    Post subject:

Hi any!

Welcome back to the forums!

Generally the loan should be underwritten at the same time and not separately but again it may vary from lender to lender. There can be certain documentations for which its delaying. You may ask the lender the cause of the delay as well. As a borrower you have the right to ask that and see what he tells you.

Feel free to ask if you have further queries.

Sussane
MONA

Guest






PostPosted: Sun Apr 05, 2009 2:08 am    Post subject: streamline k loan

If I buy my hud home in cash with no loan and bad credit, in a revitalization area, will i qualify for the streamline loan?
Icon Mini Profile gmakerley
gmakerley
Community Mentor
Community Mentor


Joined: 09 Nov 2007

Posts: 7448
Location: bloomfield, ct
70.12 Dollars($)
PostPosted: Mon Apr 06, 2009 12:42 pm    Post subject:

mona, you might qualify, but "bad" credit isn't a particularly good calling card.
_________________
George M. Akerley
Loan Consultant

860-221-5044
jessica85

Guest






PostPosted: Thu Jun 11, 2009 1:26 am    Post subject: Streamline (203k) Finance

I live in Chicago and I just found out about the FHA Streamline Loan. I was told by the finance co that we started working with that you cannot borrow more than what the house is worth and later found out that I was lied to. It seems that the company does not offer these options. What finance companies offer this service? Thanks for your help!

email "just.jessica@yahoo.com" with answers too

[Email address deactivated as per forum rules]
Icon Mini Profile jerry
jerry
Moderator


Joined: 17 Oct 2005



Posts: 1778
Location: MICHIGAN
266.05 Dollars($)
PostPosted: Fri Jun 12, 2009 5:50 am    Post subject:

Hi Jessica,

The FHA 203k streamline loans do give you the opportunity to borrow more than what the house is worth. It is a very good option for homeowners looking to purchase homes that need some repair. It eliminates the need for two separate loans to make the purchase of the home and carry out the renovations. The repair work needs to cost a minimum of $5k and the maximum limit can go up to $35k.

There are many FHA-approved lenders who offer this type of loans. There are lenders in this community who can help you with the loan. You may go for a no obligation free mortgage quote with the community lenders. They will assess your financial situation, credit score and other factors. If you qualify for the loan, they will offer you free mortgage quotes. If the quotes are good enough, you can go for the loan with them. You can also look for other lenders and see if they can offer you an FHA 203k streamline loan and what mortgage quotes they have to offer.

Thanks,

Jerry
Icon Mini Profile brian3
brian3



Joined: 09 Jun 2009

Posts: 80

21.31 Dollars($)
PostPosted: Fri Jun 12, 2009 6:35 am    Post subject:

Jessica you can borrow off of what the house "will be worth" using the 203K option. They do an appraisal subject to the repairs to be done. I would do a search of local independent bankers there that specialize in FHA loans to help you get this done.
_________________
Brian F. Foster
Mortgage Banker
BFF Mortgage
7057 John F. Kennedy Blvd
North Bergen, NJ 07047

201-305-5149


First Residential Mortgage: Licensed direct lenders in NY, NJ, CT, PA, FL, VA, MD, NC, SC, TX
Quick Reply
Your Name
Subject
Message body

All times are GMT - 7 Hours
Page 1 of 1

 
Highlights
Helpful References
Mortgage Guide
Mortgage Terms
Mortgage News
Book Center
Shop and Compare lenders
30 Yr. Fixed Vs. 5/1 ARM


Calculators     [View all]
Are you eligible for loan?
How much you can afford?
Calculate monthly payment
Calculate APR


Financial Tools
Credit Repair Tool New
Mortgage Planner
Simple Budgeting Tool


Our Community
MortgageFit Blog
Community Professionals
Community Rewards
Introduce yourself
Website tools


Community Rewards
Five simple ways to earn money with the Mortgage Community.

MortgageFit Live Help

Explore the lender near you

Google Map Image

MF Talk



DebtConsolidationCare    Insurance community: We Make You Insurance Smart    CreditMagic: Helping you build up credit


We have chosen to apply the Creative Commons Attribution License to all works we publish. This work is licensed under cc by 2.0