During the housing boom (2002-2006), every imaginable loan was available.  Loans that required no documentation of income or assets to loans where the property condition literally didn’t matter.  When you hear of the state of our economy, please keep in mind that everything you’re hearing is having a direct effect on the mortgage industry.  We are regulated like never before, recently the Federal Government passed the SafeACT which requires all loan officers that do not work at Federally Chartered banks to be licensed through the Federal NMLS and at the state level with different licensing requirements for each.  That is just one small example of new regulation, we have had over 500 industry, regulatory and guideline changes in the last 2 years and more seem to come.  Don’t get me wrong, we are lending, and mortgage planning is what I do best.  What I am trying to get across is that the loan officer is the one working on both sides to make sure we do the right thing for our borrowers and meet the guidelines set by the industry. 

When I start a loan for a client, I get the basic information upfront such as federal taxes for the past 2 years, bank statements for the past 2 months, pay stubs and copies of your drivers licenses so we can comply with the Patriot Act.  This is the very basic information – in today’s environment it is not uncommon to be asked for copies of your current homeowners insurance and property tax bill if you’re purchasing a rental/investment property.  Additionally, 2^nd appraisals are almost becoming common place as lenders want to make certain the value on the first is legit.  If you’ve made any recent deposits in your accounts that exceed $500 that are not payroll related, then these funds have to be documented in order to be considered for the transaction.  By the time I come back to my client and ask them for additional information is it because it is absolutely required for the loan or I was unable to get the underwriter to waive it.  (For more info on what may be required, please visit www.imrmortgage.com/ loan-documentation)  Remember, we are (once your loan has been set-up and submitted) the party that relays the concerns and messages our underwriting staff has.  We would rather not have to ask for additional items, but sometimes it is just required. 

These days, your money in the bank and your income isn’t always enough.  Properties have the meet condition standards, appraisal standards and the seller (if flipping) has to document legitimate improvements to the properties to justify a higher value than what they purchased it for if less than 6 months prior. 

The long and the short of it – I am your mortgage banker, your loan officer, your advocate to make certain you can repay the loan and that you and the property you wish to purchase or refinance is eligible for financing.  If you have questions, just ask us.  If you have concerns, voice them.  If you’re frustrated, that is fine, talk it through so you understand what your loan officer is dealing with.  We want to get you into your home as bad as you want to be in it, work with us and be patient – I promise the whole process will be so much smoother. 

If you go into any mortgage process with a positive mind-set and patience, all the horror stories you may hear your friends speak of will be foreign to you.  We are on your side, we work with you, educate you and want to help you accomplish your goals.  Remember, we are your advocate. 

Cheers!