Getting denied an FHA loan feels like the air just got sucked out of your homebuying dream, but you're standing in a pretty big crowd. In 2023 roughly 22% of FHA applications hit a credit or income snag after the initial "pre-approval." The good news? About 70% of those turndowns close on a different program once they know where to look.

NMHL keeps a running tally: last year we helped 3,400 families who walked in with a denial letter from someone else. The pattern is almost always the same — automated underwriting spat out a code like "refer with caution," the big bank shrugged, and the buyers assumed that was the final word. It rarely is.

Credit-score tip: FHA technically allows 500-579 with 10% down, but most banks overlay a 620 minimum. If you slipped from 595 to 575 because of a high balance reporting, paying that card below 30% and running a rapid rescore can pop you back over 580 in 72 hours.

Income surprises: Maybe your side-gig 1099 income couldn't be counted without two years of tax returns. Our bank-statement program ignores tax returns altogether and qualifies you off 12 months of deposits.

Property issues: FHA appraisals stick for four months. If peeling paint or a missing handrail tanked the value, we can pivot to a conventional 3%-down HomeReady loan with a fresh appraisal — no repairs required.

DTI overage: Automated FHA maxes out at 57% back-end, but manual underwrites allow 65% when you show three months of reserves. Moving $2,000 into savings often flips the switch.

• FHA Manual Underwrite: Same 3.5% down, but we submit to a human who weighs rent history, reserves, and job stability.
• Non-QM Bank Statement: 10% down, 43-50% DTI, no tax returns, credit scores to 580.
• VA IRRRL or Purchase: If you're a veteran, we can go to 60% DTI with no monthly mortgage insurance even at 580.
• FHA 203(h) Disaster Loan: If your denial followed a FEMA-declared event, this program waives down-payment and some credit overlays.
• USDA Rural: 0% down, 29% front-end/41% back-end ratios, but manual underwrites allow up to 44% housing ratio.

We keep delegated underwriting authority for each of these, so we don't have to beg an outside investor — we sign off ourselves.

Today: Gather your denial letter, last two pay stubs, and the last two months of bank statements. Upload them through NMHL's secure portal; we'll run a same-day eligibility scan across 40+ programs.

Tomorrow: Expect a 15-minute call where we lay out your two best paths, the exact rate, payment, and cash-to-close for each, plus the timeline.

This weekend: If a rapid rescore or extra documentation is needed, we'll give you the precise dollar amount to pay on which card, or the form your HR needs to complete. Most rescores finish by Monday.

Clients who follow the 48-hour plan average 19 days from denial to cleared-to-close on their new loan.

Sometimes the math works, but the calendar doesn't — maybe you're starting a new job next month or a collection won't age off for 90 days. NMHL offers a free Credit & Income Watch: we pull a soft credit report every 30 days, update your income docs, and ping you the moment you hit the qualifying threshold. There's no cost, and when you're ready we simply update the pre-approval and lock your rate.

In the meantime you can house-hunt with confidence using our NMHL Priority Letter, which tells agents you're fully underwritten except for one easily fixable condition. Over 1,200 buyers used this service last year; 94% closed on the home they offered on.

Walking into our office or hopping on a Zoom feels more like talking to a knowledgeable friend than sitting in front of a loan officer. We'll never say "you should have" — we know life happens. Our single goal is to get you across the threshold of your own front door, and we have the tools to do it even when the first attempt hit a wall.

Send us your denial letter, or just tell us what happened in your own words. Within one business day you'll have a clear, step-by-step roadmap and a rate quote that actually matches the loan you qualify for. No judgment, no surprises — just a path home.