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Old 02-12-2013, 06:04 AM
 
26 posts, read 36,202 times
Reputation: 16

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I will be closing on a new home in 3 weeks (USDA loan) but my employer filed for bankruptcy. I have a job offer but according to the bank, if I transfer to another company, they will need 2 pay stubs which means a month-long wait before they can re-submit an application to USDA.

Is there a chance that USDA denies the new application? Will the builder wait that long or do they have an option to drop me as the buyer of the home?
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Old 02-12-2013, 09:53 AM
 
3,826 posts, read 5,810,346 times
Reputation: 2401
How long are you going to be under your cirrent employee?
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Old 02-12-2013, 03:17 PM
 
323 posts, read 685,312 times
Reputation: 277
Quote:
Originally Posted by mmmccc View Post
I will be closing on a new home in 3 weeks (USDA loan) but my employer filed for bankruptcy. I have a job offer but according to the bank, if I transfer to another company, they will need 2 pay stubs which means a month-long wait before they can re-submit an application to USDA.

Is there a chance that USDA denies the new application? Will the builder wait that long or do they have an option to drop me as the buyer of the home?
The advice you'll get here won't be much help. You need to know how long your place of employment is going to remain operational (filing for bankruptcy doesn't mean the doors close tomorrow, ya know?) and how long you've got to take that other job offer you were talking about. You should also be talking to the builder and referring to your contract regarding closing guidelines. Your current employer, prospective employer, loan officer and builder are the ones you should be hitting with the questions, because none of us can answer any them 100% correctly - everyone's situation is different.
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Old 02-12-2013, 03:21 PM
 
Location: OCNJ and or lower Florida keys
814 posts, read 2,044,417 times
Reputation: 848
I hate when that happens!
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Old 02-12-2013, 04:59 PM
 
Location: Myrtle Beach
3,381 posts, read 9,127,272 times
Reputation: 2948
That sucks... couldn't imagine. Time to find out if teh employer is closing doors, decide if you want to take on this debt with this new situation and discuss with the bank to avoid any 'fraud'.
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Old 02-13-2013, 07:20 AM
 
26 posts, read 36,202 times
Reputation: 16
Thanks everyone.

I have decided to transfer employment since the current employer can be shut down by the state due to fraud. I'd rather wait for 2 months more rather than gamble on a sinking ship.
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Old 02-13-2013, 09:10 AM
 
27,214 posts, read 46,761,394 times
Reputation: 15667
Sometimes thngs happen for a reason and do you want to be stuck with a home you may not be able to afford? I ca understand this is what you didn't want to hear and want to deal with and probably don't deserve but have to face now, sadly enough.

I would sit down and thnk carefully how to proceed and otherwise back out and buy in a few months when you know how things are going than closing and realising you are stuck and have to deal with defaulting and bad credit...now you have a choice.

Good luck, I'm very sorry for you.
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