Health & Wellness
Yesterday
357
Lasik cost
Tech Industry
2d
14543
RIP Google Core Employees replaced with Mexico and India Workers
Tech Industry
Yesterday
1263
Women, help me understand why this is inspirational
Tech Industry
Yesterday
2181
What happens when most of your team is Indian?
Tech Industry
3d
59534
Crossed a line with my boss
Hello All, I just applied for a preapproval(first time) and do not want my one of the stocks account to be considered for the application. After I submitted my documents, I got an update from Bank of America associate that the underwriter needs your stock account statements to validate the funds that were transferred to my bank account. Do we need to submit all this information? Is it mandatory to provide that? Any guidance would be appreciated. #Mortgage #preapproval
They are intentionally obtuse with loan qualifications. Fall out from bad actors abusing loopholes in 2009. No they insist on making it worse than the DMV after drivers Ed’s class gets out.
This sounds more like underwriter approval then just a pre-approval (which doesn't require any docs). Having said that its in your best interest to share the info to get the underwriting approval done and close any home you buy faster.( real estate agent usually talk to bank about underwriting approval is done or not )
Yes. They need to know if the funds were yours, and not ‘gifted’. Simply necessary to establish your solvency, and - subsequently - liquidity.
Make sense. Can’t one take gift from family?
Yes you can. Need a letter from gifter (template can be given from u/w or take one from online), and make sure the last name is same. :)... that’s the first check point they look for.
Prepare to feel financially assaulted. That is the only way I can describe the process.
Assaulted doesn’t do it justice. Brutally and publicly raped feels to inch closer to the truth.
Why dont you want them to consider a certain stock? Having more liquid assets can only help you during underwriting
Sorry new to it, how does it matter?
If you have more liquid saving your risk profile for loan default is lower.
They need to trace every recent inflow and outflow now that they have seen some. The application isn’t moving without it.
^ this. They’re required by law to understand every dollar that came into the account your using to qualify. Its the applied interpretation of post-9/11 anti-terrorism financial laws. So yes, every dollar has to be traced. That said, they won’t consider the account the money came from as part of your assets for underwriting purposes if you don’t want them to. They just need to “source” the funds.
Understood thank you.
Does anyone happen to know good bank here? I’m trying with BofA and it’s very slow. Chase gave me preapproval but without any documents verification.
Banks are usually slow. It’s how their dept works. Try Wells. Their are the largest originators. Also, Try new american (NA) funding, I have had good experience with them as a broker. Mortgage industry has many layers, If you want speed, may want to consider going up the chain to NA type Entities. Banks are slow cos they are the ones making the mortgages, or buying them when funding entities make the loans. Also, your pre approval (PA)must be non-underwritten(UW) PA. If you go for an UW PA, it’s more stickier as the underwriters take time to get back with definitive numbers after assessing all finances.
Can you help me understand the underwriter process. The number I get from them does that becomes the final number or when I select my property then I have the options to finalize the numbers?
Can you help me understand the underwriter process. The number I get from them does that becomes the final number or when I select my property then I have the options to finalize the numbers?
Preaproval means almost nothing. The actual loan application starts later once you have a property and signed contract. Preapproval is at best, an estimate.
U/W ask for documentation in entirety to underwrite your financial health and recommend what is best for you in terms Of budget (i.e. in case of a mortgage, a home you can afford). Simple PA is just asking a few Questions and run a credit check to quote you a number. It doesn’t mean much. The swing can be massive, and these days PA doesn’t get one far in the bidding process. It’s a pointless process IMO. Underwritten PA goes all the way, to give a pretty good idea of how much one can stretch oneself. They ask all documentation, taxes, pay stubs, etc to gauge what mortgage one can afford. The output from underwriter is the loan amount figure you can get as mortgage. You can shop for any property you want, as long as you have the means to cover the difference between home value and loan amount, plus closing costs.
Yes if you want a chance at qualify. Best to just submit everything. I just closed on a house today. Went through this process twice