The Approval Mystery Is Solved
Sep
27
After saying we would definitely be approved, the lender we are working with now called back again and said that the approval to get financed for the home we are trying to buy is not working out with the underwriter.
We have finally found out why lenders keep saying we will be approved but then we can’t is because based on our yearly salary we are approved but based on monthly income (or two paychecks) we are not. How JJ gets paid is a little different than most other companies who give pay checks twice a month (ie: every second and 4th Friday) while the university gives JJ a pay check every 14 days which means some months he will get 3 pay checks.
Now we have to wait until Monday to find out if the underwriter will approve us based on JJ’s yearly salary. Which might be hard to do since He hasn’t been working there for a full year. But he has a contract that states how much he will earn during his first year.
September 27th, 2008 at 11:54 am
Yea, some companies are different. Adam gets paid bi-weekly. (26 checks a year) So it’s every other friday, and some months (like October) that have 5 weeks, he’ll have an extra paycheck. I get paid semi monthly. (24 checks a year) So it’s every 15 days no matter what. That stinks because there are months (like October) that I’ll go 3 weekends without pay.
I hope it gets straightened out for you and you get to keep the house.
[Reply]
September 27th, 2008 at 12:15 pm
I”m not sure about down there but here you get a letter of employment from your employer that states all that (yearly, monthly, every two weeks or whatever) and you have to hand that in to the bank.
[Reply]
September 27th, 2008 at 3:39 pm
Suzzanne, We have a contract stating what the yearly salary is but when JJ’s employer filled out the form they wrote that he gets paid bi-weekly so the banks are going off what he is paid from 2 pay checks. Maybe the banks will either accept the contract or the employer can fill out another form showing his salary income.
[Reply]
September 29th, 2008 at 12:42 am
its the same over here too, some companies pay 2 or even 3 times a month…so all lenders need BOTH the yearly and the monthly salary statement….
[Reply]
September 29th, 2008 at 12:31 pm
I hope things get better, keep me posted
[Reply]
October 1st, 2008 at 3:00 pm
Seems like a copy of his employment contract would suffice to meet the pay requirement.
[Reply]