please answer fast!

[tiffanys]

What is the name of your state?we live in p.a.
we are buying our first home, we have no downpayment and are paying minimal closings, we are going thru F.H.A. which finances the entire loan, now here is the problem which neither anyone I know including my realestate agent can understand, F.H.A. iS getting difficult over the distance between the well and septic, the water test came back clean, the house has been there 53 years, the current owners went thru farmers home, and farmers home gave them no problem with the well distance, the township approved the well as it has never before been an issue. a friend mentioned the homestead act, what is that, and will that help us get F.H.A. off our back about a well that is not a problem, if we had 5000 for a downpayment we would not have to be bothered with this issue, we cant figure out why it is o.k for farmers home,requiring no money, and other lenders not to question a well ,but F.H.A. is making a big deal out of it! we have to be out of our rental by july 1st, we have no idea where to get 5000 dollars to get them off our back.we should have been in that house by now! there is no other financing options for us.
weve already paid some closings and put down hand money,we will loose our money if we back out,were so angry, a big help that agency is for low income people!
help help anyone have any ideas?
tiffanys

 

[HUD-1]

FHA requires a minimum distance of 75 feet between the well and the septic tank. This can be waived down to 50 feet if conditions are good. (Good soil, topography etc) It cannot be waived below 50 feet by statute. It would literally take an act of Congress to get anything approved below 50 feet. The distance between the well and the leach fields should be 100 feet. What is your situation?

 

[tiffanys]

well distance

p.a.
the well is 50 feet away, and the test came back clean clean clean for water,the township sent a letter saying it was good and acceptable and I think F.H.A. said no anyway,
the well has never been an issue till now, 5 different families have lived there and even farmers home dont care, why f.h.a. and why after all these years?
we cant afford to drill a new well its pointless if the waters good, to tear up the whole front lawn to a mud pit just to please them seems cruel.

 

[HUD-1]

If you have the 50 foot distance, then you need to find out what exactly the problem is. I have not heard of a denial of the 50 foot waiver if you have a letter of support from the Town. Get in touch with your lender quick and report back specifically what the reason for denial is.

 

[tiffanys]

well distance

well I guess a letter from the township was sent to f h a ,but f.h.a. dint like the Language, whatever that means,and I guess the township wont change it. the township dont have any regulations or requirements written up so they may be afraid to say something wrong, what ,I have no idea, so I guess were screwed unless in two days we can find growing on a tree 5 thousand dollars, we cant put 5 grand on our credit card because fha will only accept gift money,I dont have any rich uncles. whats so stupid is at closing we will be getting back 3000,cash.funny how it dont matter about the well if you have money.typical government sillyness. any advice on how I can get my money back I pre spent on closings?
I cant believe the luck were having, all this crap just to have a nice home and to get out of a tiny trailer,who would have thought.

 

[amortgageman]

FHA has a little more strenuous requirements than a convntional or subprime lender, sure.

My suggestion would be at this point, if you really want this house, to take the cash that you are getting back form closing ($3,000) and place it in an escrow account along with the seller placing the additional $2,000 to do what is necessary to make it compliant with FHA lending requirements.

Why slam FHA?

1) You yourself said it would not be possible without them? They want to help make you a homeowner.

2) What if it were a leaky roof, bad water, mold, termites. All those FHA inspection requirements are in the best interest of YOU, the purchaser.

 

[tiffanys]

well issue

well my realestate agent is going to speak to an attorney to see if something can be worked out, it isnt really supposed to be a big a deal as this particular individual that is probably handling our loan is making it out to be. they are simply making it difficult for us ,because if we had the 5000 they would pass the very same well and finance the house no problem.its all money motivated as I see it.no other reason.why is it o.k if we have 5000 dollars?its the same well, the same lender.
the well has been there for 53 years ,thru many lenders ,no problems.I was told I cant use the closing excess money for the downpayment, also real goofy is having excess money! we have no money other than our closing cash which we borrowed from my grandpap., which is why we are going thru fha. we will never understand why one government agency such as farmers home, who also have strict rules will pass the well and give us a loan if I QUIT MY JOB AND BE POOR, [go figure that one out,]and fha wont pass the same well because of some mystery reason. if I had a downpayment I wouldnt have to go thru any special financing agency, and the well wouldnt be an issue.sort of the whole point of going thru a lender who will give you a break is not needing a lot of money, up front and not making it impossible.well thanks for your valuable input some of it I may need, for fun I will let you know if we got the house.
tiffanys

 

[Souix]

well my realestate agent is going to speak to an attorney to see if something can be worked out, it isnt really supposed to be a big a deal as this particular individual that is probably handling our loan is making it out to be. they are simply making it difficult for us ,because if we had the 5000 they would pass the very same well and finance the house no problem.its all money motivated as I see it.no other reason.why is it o.k if we have 5000 dollars?its the same well, the same lender.
the well has been there for 53 years ,thru many lenders ,no problems.I was told I cant use the closing excess money for the downpayment, also real goofy is having excess money! we have no money other than our closing cash which we borrowed from my grandpap., which is why we are going thru fha. we will never understand why one government agency such as farmers home, who also have strict rules will pass the well and give us a loan if I QUIT MY JOB AND BE POOR, [go figure that one out,]and fha wont pass the same well because of some mystery reason. if I had a downpayment I wouldnt have to go thru any special financing agency, and the well wouldnt be an issue.sort of the whole point of going thru a lender who will give you a break is not needing a lot of money, up front and not making it impossible.well thanks for your valuable input some of it I may need, for fun I will let you know if we got the house.
tiffanys

***How is it that you are getting $3,000 back at closing? Are you putting money down? If you are not putting any money down, any lender will consider you a high risk. The general thinking is that you will have less invested in the property so it won't hurt you financially to just walk away from it. But I would still like to know how you are getting money back. FHA generally won't allow kickbacks to buyers***

 

[HUD-1]

FHA allows up to 6% to be contributed by the seller. Regarding wells, I have seen wells and septics 10 feet apart and the Town has no problem with it as long as the water test comes back ok. FHA is insuring a loan for 30 years. They are definitely looking out for a homebuyer's best interest. In that situation, if the water test failed 5 years from now, there may be no way to locate a new well on the property and the buyer would wonder why FHA allowed them to purchase the property with that defective condition...

 

[tiffanys]

well issue

In my opinion,from what I see, fha isnt looking out for anyones intrest, they or whoever,want money,
[I was able to convince a relative to lend me 5000 for my downpayment,thru much painfull convincing.] now the well isnt an issue, because they got what they wanted.why wouldnt farmers home have made the current owners drill if they were so worried about it? because farmers home dont care ,I guess because they take all your raises and expect you to be poor.thats why I dint go with farmers home,because I couldnt afford it ,if that makes any sense. not only that Ill never understand why government agencies use your gross income as a guide, no one has that much cash,they should use your net take home pay, Thats what we get. Its retarted how they reason.
so hopefully I will be able to go to closing with no more of games.
its just a way to get anxious new homebuyers backed up against the wall to force people to somehow get the cash.
as for the cash back at closing, I dont know how that works either but that money is going directly into the hands of my relative to pay them back asap.
Ill let you know how it went at closing when I find out when that is.and somehow I am also suspisious of my realestate agent, maybe this was all her big game,dont know.
tiff

 

[Souix]

In my opinion,from what I see, fha isnt looking out for anyones intrest, they or whoever,want money,
[I was able to convince a relative to lend me 5000 for my downpayment,thru much painfull convincing.] now the well isnt an issue, because they got what they wanted.why wouldnt farmers home have made the current owners drill if they were so worried about it? because farmers home dont care ,I guess because they take all your raises and expect you to be poor.thats why I dint go with farmers home,because I couldnt afford it ,if that makes any sense. not only that Ill never understand why government agencies use your gross income as a guide, no one has that much cash,they should use your net take home pay, Thats what we get. Its retarted how they reason.
so hopefully I will be able to go to closing with no more of games.
its just a way to get anxious new homebuyers backed up against the wall to force people to somehow get the cash.
as for the cash back at closing, I dont know how that works either but that money is going directly into the hands of my relative to pay them back asap.
Ill let you know how it went at closing when I find out when that is.and somehow I am also suspisious of my realestate agent, maybe this was all her big game,dont know.
tiff

***I wouldn't blame your Realtor, that would be really stupid. Our hands are tied when it comes to FHA guidelines. It really depends on what the lender's guidelines are. I have one now that is driving me CRAZY because the house has 3 sump pumps. We had to get the appraiser to say that is common for the area before they would pass it through. I wonder if your appraiser were to put something in writing about the distance from the well to the septic being common for the area, I just wonder if that would help aleviate the underwriter's problems. Still don't know how you are getting cash back at closing. Is this a credit to you on your closing statement or is escrow cutting you a check? I know that FHA will allow a seller to contribute up to 6% but its usually in the form of a credit on the closing statement, not a check back to you.***

 

[tiffanys]

well issue

well upon further discussion, we are no not going thru f.h.a.
because we came up with some cash.so I guess that explains why the well dont matter anymore.
now however,after we were told to get cash in the form of a gift, which we did, the agent is telling us we cant get it all from the same person? I am so confused, what difference does it make who gave me the money, thats what she wanted, now the rules are changed again.and I havent figured out why or if we are geting anything back at closing I think she is missinforming me.I am waiting for a call back from the lender now.
tiff

 

[Souix]

well upon further discussion, we are no not going thru f.h.a.
because we came up with some cash.so I guess that explains why the well dont matter anymore.
now however,after we were told to get cash in the form of a gift, which we did, the agent is telling us we cant get it all from the same person? I am so confused, what difference does it make who gave me the money, thats what she wanted, now the rules are changed again.and I havent figured out why or if we are geting anything back at closing I think she is missinforming me.I am waiting for a call back from the lender now.
tiff

***If your financing has changed your Realtor needs to do an Addendum addressing that, as well as your down payment and all the different terms of the agreement have to be in writing. If you are distrusting your agent, then it is time to call the agent's principal broker and get some help with this or have the PB intervene. Having gift money come from 2 separate sources is a new one on me, I'd be interested to hear why too***

 

[HomeGuru]

Maybe the lender has a gift letter criteria with respect to maximum dollar amount or % or downpayment per individual. Strange.

 

[tiffanys]

still not in that house!!

we are still not in our house yet.
we had to leave my other place, we sold it and the people wanted in on a certain date, and that date was to be long after the closing, but no ,this mortgage person is yet again using another type of loan or lender, and they are putting us thru hell, we are living in my mom in laws basement and all our stuff is all over the place.
the realestate agent and this underwriter have poor comunication, I have no clue why the lender has to keep questioning where our money is coming from and why we keep having to show them bank statements every three days it seems.I m not even sure who our loan is going thru anymore, something about they had to fax some documents to the state and waiting to get them back, our closing has been put off three times and I wish I had the money to do something about it, my poor 2 year old is traumatized sleeping in a closet on the floor, and all my pets scattered at relatives homes, Im sick of sleeping on the floor on a mat, its been two weeks or longer since we have been out of our place, the realestate set a closing date we told the buyers of our place they could be in, so then they canceled our closing and questioned where we got 4000 dollars, ediots, they told us we could get gift money from a relative, so we did ,and got the letter of proof,to have a downpayment, now theyre giving us problems about it! not only that they keep changing the requirements on a daily basis. the people that we are getting the house from are equally discusted I bet they will never use a realestate again.
well Ill let you know when Im not homeless.
tiff