Looking to buy a house on a short timeline with a semi-complicated situation (WI)

This one is sufficiently outside the box that you're probably not going to work with a bank as you think of one, but a local lender working for a direct lending mortgage bank (eg a "bank" that only does one thing), and not only that but a specific person at such an institution that a realtor local to that area knows can think outside the box.

In 2006, this would have been easy, slam dunk, you're fine, here's you're keys. It is not 2006.

A few challenges for you to overcome off the top of my head, others will have more.

  • Signing. Specific power of attorney to sign on your behalf OR appointment at US Consulate/Embassy in your home country. The final official loan, title, and escrow documents need to be notarized by someone recognized by the US, on US soil. If you go the POA route, it had better be someone you truly know, trust, and love, because they're about to obligate you to a quarter million dollars of debt while acting on your behalf. The problem with the appointment at the US Consulate/Embassy for a US notary on US soil route is that the appointments have to be (typically, from what I've seen) three weeks out, and the Real Estate Gods are sufficiently fickle that I can guarantee you the docs won't be ready for you to sign on exactly the day initially scheduled, meaning you will need to waste another 3 weeks for the next appointment lock, blowing your deadlines, maybe your rate lock, etc etc. (When the timing isn't critical, docs ALWAYS arrive exactly on time... gotta love the RE Gods.)

  • Credit. Do you have a US credit score? If not, your interest rate pricing for "no FICO score" will be the same as that offered to someone with horrible-but-just-barely-good-enough credit. It'll also be a manual underwrite, with more stringent income requirements, and probably require "alternative tradelines" in lieu of established credit, like proof that you've been paying your cell phone or other bills on time for 12 months. Assuming you still qualify, you'd want to establish US credit ASAP so you could refinance right at the 6 month mark into a good loan. Basically, think of "purchase" financing as distinct from "permanent" financing in this case.

  • Income. Generally we want one month on the job, confirmed by paystubs and a written verification from your new employer, prior to closing. In your case it sounds like you want to buy the house before you start your new job. So this will need to be an exception to that rule, if it can be done at all. It'll need to be rock solid and make sense, and the lender may require that you provide those paystubs and the written verification of employment post-closing or they may call the note due.

  • Assets. Hold off on moving money around until you connect with whoever your lender is going to be. She or he will give you guidance from there to keep you out of "Papertrailing Funds Hell." Whenever you do move money around, take a screenshot of an independent 3rd party confirming the approximate currency conversion, or let your lender know so she can do it for you (I use google screenshots).

/r/RealEstate Thread