The Mortgage Journey  Home

The New Mantra in Phoenix: Documents, Documents and More…..

The perception today while purchasing or refinancing a home mortgage is that securing the mortgage approval and satisfying the guidelines required by the underwriters of these loans is the most difficult aspect of the process.  NOT true in this day and age. Your difficulties lie in meeting the rigorous documentation the underwriters are demanding these days.  But there is a solution!  Just scan, copy, fax, e-mail, and or deliver every minute area of your life int he past 7 or so years of your financial life to your loan officer. (If you have a pet, you may want to include their’s also).

It is better to go into this process with the attitude of: I Will Provide Documents, Documents and More Documents!  And I will enjoy it.

As a Loan Officer, I want to provide to the lender as clean a file as I can.  The more information I can provide in a a concise and logical manner, the better.  Believe me when I tell you that on more than one occasion when an underwriter requests documentation and I reply: “Are you kidding me, why do you want that?, their answer often is “Because I said so!  Acceptance is the key here.

The Underling Reasons For So Much Documentattion

Mortgage lending companies have suffered staggering losses and many have gone out of business because of loan repurchases.  As mortgage delinquencies increased, Fannie Mae and Freddie Mac began to audit the loans they had purchased from these lenders and discovered many of these loans  to be below standard or outright fraudulent.  These goverment agencies then began to to force these lenders to buy back these loans.  Many of these lenders were not in a position to buy back the bad loans and most went out of business.

The Solution

The mortgage companies that did survive therefore, had to create new underwriting guidelines and procedures that would prevent a recurrence of these bad loans.

What you need to do is have the documentation that meets the credit underwriting guidelines for the loan you are requesting. And, more importantly, you have to have to be able to trace, with a hard copy every aspect of the guidelines.  In other words, we need documentation of everything!  We need to be able to validate everything!

So be forwarned and prepared.  You will need  Documents, Documents and More Documents!

  Call me, I can help you with this.

October 18, 2012 by · Leave a Comment

Related Posts

About Patrick

My name is Pat and I have been a member of Signature Home Loans since 1993. I have experience in all facets of the mortgage industry including Manufactured Homes, Conventional, FHA Mortgages, VA Mortgages, Jumbo Loans, Investor Loans, Reverse Mortgages and Second Mortgage Loans.

Leave a Comment