1st time home buyer credit - no go for incoming interns?

[bkflaneur]

Like many others, I'm graduating from med school in May and beginning residency June 23. I'm currently in Denver and staying here for residency. Since we'll be in our current location for at least the next 5 years, we'd like to buy, if we can afford it.

We've completed loan apps with a number of lenders and received good faith estimates for an FHA loan with 3.5% down. But the lenders all require pay stubs verifying 30 days of income before closure. So I don't think we can close until the end of July, which is too late for the June 30 deadline for the $8000 tax credit.

Have others found a work around for this? If it makes sense, we'd still like to buy without the tax credit. Though it's definitely not ideal to be closing on a new home and moving in the 2nd month of intern year.

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[emeddo]

Local banks, local banks, local banks

Many incoming residents I know have been able to get lenders to still close more then 30 days in advance, but it was always through a local bank that was going to self finance the loan and not sell it off to a major market.

Get a good realtor and tell them your situation, they know people locally and will help you get a loan - they have a huge interest in seeing that you do. I will say good luck though b/c time is running really short.

 

[bjackrian]

I don't know what program you're at in Colorado, but if it's one of the CU programs, you might look at Public Service Credit Union. I've heard of some residents getting loans through them in advance and they have some sort of relationship with the U.

 

[bkflaneur]

I don't know what program you're at in Colorado, but if it's one of the CU programs, you might look at Public Service Credit Union. I've heard of some residents getting loans through them in advance and they have some sort of relationship with the U.

Thanks - I'll check out some of the local lenders as well as the Public Service Credit Union. We've mostly given up on the tax credit but are still interested in buying. I think the tax credit may be keeping some of the entry-level home prices a little higher - so I'm hoping we can save the $8000 on the purchase price after the deadline.

 

[The DK]

Thanks - I'll check out some of the local lenders as well as the Public Service Credit Union. We've mostly given up on the tax credit but are still interested in buying. I think the tax credit may be keeping some of the entry-level home prices a little higher - so I'm hoping we can save the $8000 on the purchase price after the deadline.

I'm a first time home-buyer-intern as well and had the same concerns until I checked into the local credit union affiliated with the hospital. Fortunately they were still offering a 'Resident/Fellow Physician Loan' option with no PMI and $0 downpayment. Because of their affiliation with the hospital, all I had to do was fax over a copy of my contract and they gave the go ahead to close/move in 30 days before I actually start.

I thought I would want to do the FHA 3.5% downpayment option but Credit Unions (or this one, at least) don't offer HUD loans. I also looked into the Physician Loan and Compass Bank BBVA options for Resident Loans but felt more comfortable with the proximity of the credit union and their closing costs were much lower than either of the other two.

All you have to do is have some of the paperwork rolling by April 30th so, theoretically, you still have two weeks to look into it.

Good luck!

DK

 

[CompassMBO]

I sent you a private message with my contact information. Would be happy to discuss your options, and if the local CU will beat what Compass can offer you, great!

 

[FMGP8P]

I suggest going through a mortgage broker. My mortgage broker went through 20 different lenders before finding a FHA lender that would waive the paystub requirement. There's no way I would have time to figure it out myself.

 

[december07]

hi All,
so I went though an emotional roller coaster ride with this whole buying a house thing also.
I'm relocating from Florida to Michigan for EM (4 yrs). So, I figure it would be a good idea to buy a place. I flew to michigan and checked out multiple houses and finally ready to make an offer for this one home that is in very good shape. Today, I found out that tho we have good credit, we can't get the FHA loan until June when we have the first pay stub from our job. This is strange cause my wife is currently employed full time with a 100K+ salary.

So now, we have to lease for 1 yr (hard to find a shorter term lease) then purchase a property after. What a waste of money!

oh well... never in my life where I though two "doctors" in one household can't qualify for a loan. But here we are...