Have a friend with excellent credit, 20% down payment, 100k+ in the bank, turned down for mortgage

[K8-EEE]

b/c she started her own biz a year ago after being laid off from a job she had for 17 years, and although she is making money it is not deemed enough by the banks -

The things they are holding against her are ridiculous for instance she co-signed on her nephew's college loans although he graduated years ago and she has never had to pay any of it.

She lives in Palm Springs and has 4 dogs so that pretty much takes her out of the condo market. A small house in PS is at least $300,000.

It's just weird to me that a few years back these same banks were pushing EVERYONE to "be in the ownership society" and buy homes whether they could afford them or not; now it seems like the standards go against people who can totally afford to buy!

Wondering if there is anything between B of A and Tony Sorprano that could help her out? Her parents have passed away and she doesn't feel like she wants to ask anybody else to co-sign as a business proposition but seems to me if someone had the capital, she would be a great prospect to co-sign, if she defaults they get the property. Are there such businesses or do they fall into Sorprano category?

[NYC_SKP]

1. I'd go to Savings and Loans first, then try online brokers.

Though it's hard to believe she can't find something even at a high rate from a commercial bank or broker.

There could be more wrong with her credit than she's willing to share with you...

[K8-EEE]

3. I guess she can find something at a high rate but

balks at paying the higher interest and so-called "Tony Sorprano" loans.

Maybe it is necessary to get into the house, and then she can refi in a couple of years...?

[elleng]

2. Contact new consumer finance . . . . agency?

Think I saw something recently about new approach to mortgage stuff. Sorry not more specific.

[SheilaT]

4. There is something a little off with this story.

Either she's leaving out something very important in her financial history or, something, I don't know.

I was able to get a mortgage three years ago because I had 20% to put down, and just barely qualified for the loan. And since then interests rates have gone down significantly. She may simply need to pu her down payment until it lowers her monthly payment to one that fits what she can pay, according to what she's currently earning.

[Billy Patterson]

5. 100 %

I agree with this thread.