In 2006 we began looking for a new home that would accomodate our family of 5 as well as my home based business. I had been working with a local Realtor and she had told me that based on my previous years self employment earnings and credit score that I would only qualify for a home at around $100,000 with 10% down. Online calculators had suggested a maximum mortgage payment of $800 per month.
After looking at many homes in this price range we just couldn't find one that would fit all of our needs. So we just decided to wait awhile. Then I got a call from the realtor and was told to come in and speak with a mortgage broker about a NO PROOF OF INCOME LOAN.
I went in and spoke with the broker and he took my info and shopped around for a company that may do a loan like this. He told me that Suntrust Mortgage was doing this type of loan and that he had been speaking with them on my account. He said I should just look around at some of the higher priced propertiues to see if we could find a house my family liked.
Well we set up several other viewings and the realtor added a few that they thought we should see as well. We looked at a few different homes and then we were told about a new property that just came on the market. She said we should see this one.
We met her at the property which was located on 10 fully wooded acres with a large building that was perfect for a home business. The house itself was a jaw dropper. Over 4000 SQFT and just amazing. My kids instantly fell in love as well as my wife with this one. BUT the price was $350,000. $250,000 more than I was told I could get.
Anyways, I told the realtor that my family loved this house. They said to come in and talk with the Broker. Well I go in and he said that all he needed was last years tax returns and just a high estimate on what I thought I would earn in 2006. I could then get a loan up to $400,000 with no money down but that I would have a slightly higher interest rate because of the type of loan. He then filled in some numbers and made a few calls back and forth with Suntrust. To my surprise he says he got it approved.
At this point my family was very excited and I just couldn't let them down. He told me the payment would be around $2800 a month. Current mortgage was $500. I made an offer, got the home, and have worked myself to death for the last 3 years to pay for this home. Now I am facing foreclosure because the payments just were too much to handle. Is there anything I can do? Can someone help? The mortgage was sold to Chase Mortgage.
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