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Someone over on the unofficial Facebook page can help you. I’ve seen this question posed and answered there, but I don’t recall the steps.
2. They will use your base for rent as a starting point to determine your affordability. Provided you have paid on time rent for the past 2 years, you will qualify for a house payment equal to your base rent. If you are looking to purchase a home with a payment that is higher than your current rent, they will use your base rent to calculate payment shock. Utilities will not be included in that number. Hope that helps.
Banks typically approve you for a maximum mortgage amount, but NACA approves you for a monthly payment amount instead to ensure that you are within your demonstrated affordability. You’ll have to ask your MC to provide you with a PSL letter when you are ready to submit an offer. At that time they will check to see if the monthly payment that you are qualified for will cover the PITI of the house that you selected. This will serve as your “pre-approval” to present to the builder.
This is EXACTLY the type of situation that I was referring to by my response in that linked thread. In the cases that I’ve seen, the member doesn’t want the overtime or bonuses included but they have no choice. The only resolution I have seen is one instance where an exclusion was granted to purchase the home in a non priority area as a non priority member, but at the higher interest rate.
@Pure1 I would confirm with your MC about the exclusion or inclusion of your overtime based on your specific circumstances before you opt to avoid OT.
@mdterp. You can qualify as a priority member using only your income. Several married members have chosen to go that route to avoid the non priority limitations. As a house hold member, your spouse’s income and credit will be evaluated to make sure that they can cover all of their own debts. If their debts are such that their income is not sufficient, then and only then will they affect your DTI.
@Pure1 For NACA overtime IS counted if it is consistent and confirmed by your employer during your verification of employment. I would defer to your MC about whether or not your overtime will be counted. A couple of people on the NACA unofficial Facebook page went from priority to non priority due to the inclusion of their overtime so it’s best to confirm.
No problem. It used to be that your interest rate would lock when you submitted your ratified contract and accepted the loan estimate from NACA, but that is no longer the case. The LE is now issued by BOA when you get to the bank app phase and that is when your interest rate locks.
- This reply was modified 2 months, 3 weeks ago by Kristijay.
@Nelsont I don’t place any stock on blog posts that can not be verified by a signed contract. Looks like a couple of the people who responded after that specific post didn’t either.
@housebunny There are people who have re-purchased after the three year mark on the unofficial naca FB page if you would like to ask them what their personal experience was. What I can tell you is that this “sliding scale rule” isn’t in the documents anywhere that I have signed.
@housebunny I’m not sure where @Nelsont is getting this 5 year penalty information from. I closed Oct 2020 and that isn’t anywhere in my bank app or closing documents. The documents that I signed (Security Agreememt and Neighborhood Stabilization Agreement) that reference the $25,000 indicate that it is for the life of the loan unless and until the loan is paid off and/or refinanced. From the FAQ found on Naca.com, ” Members who want to sell their home obtained through the NACA Purchase Program and release the NACA lien send an email to firstname.lastname@example.org. Members who do so will get a response within 48 hours.”
@jacoryc07 It was increased. They initially entered my buydown incorrectly, but had me wait until just prior to close to submit the COC to fix it.
@Nelsont there is indeed a 3 year wait to re-purchase using NACA. You can find it on the FAQ portion of the website. I’m not sure where you got the 5 year timeframe on the $25000 lien. It may be that the rules when you closed are no longer relevant but the website and the workbooks located on there have the most current rules and regulations with a couple of exceptions.
Yes you can. You will NOT have to start over with a new contract. Your MC will need to submit a change of circumstances (COC) and they will ask for updated bank statements. I had a COC done just prior to closing on my new construction for that exact reason.