I have a home loan question please!?

Question

Okay so I was pre-approved for a FHA home loan. I am a first time home buyer and was unaware that opening a new line of credit would hurt my credit or my home loan process. i met with my lender yesterday and he told me just to write a letter explaining the situation and why i did what i did. does anyone know what this type of letter is called (thought it was a Hardship letter at first but then found out that was for people in debt) ...i want to write it in the correct format and make sure i include everything that's needed. THANKS!

5 months ago - 4 answers

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I cant believe they didn't tell you not to open any new credit, they should have...ours did when we were getting our home. Even with a letter they can still deny you the loan, It is up to the underwriter. You should never open new credit, run up existing credit, make any big purchases etc. I hope this doesn't effect your home buying purchase. It is called a letter of explanation. Tell them you were not informed that opening new credit would effect your decision on your house and that you will not be using the new credit so it doesn't effect your debt to income ratio. Good Luck

by Fort Sill Army Wife

5 months ago

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