MortgageDepot.com is pleased to announce the following changes to our wholesale conforming underwriting guidelines. These changes are effective immediately.
- For a borrower who is qualified using base pay, bonus, overtime or commission income less than 25% of the borrower’s qualifying income, unreimbursed employee business expenses are not required to be deducted from the borrower’s qualifying income. This applies regardless of whether unreimbursed employee business expenses are identified on tax returns or tax transcripts received from the IRS.
- We are revising the minimum monthly payment amount that must be included in the debt-to-income (DTI) calculation when a student loan is deferred or is in forbearance and no monthly payment is verified from 2% to 1% of the outstanding balance of the student loan.
What this is saying is that Fannie Mae and Freddie Mac are loosening their guidelines and they are making to easier for borrowers to qualify for loans thus expanding both the purchase market and the refinance market. These changes are positive for both the buyer and the homeowner. For those borrowers that were previously denied a loan please contact us for new qualifying guidelines.
Please contact our office for further details. 800-535-0270
More and more senior citizens get aware of the reverse mortgage and how it helps them obtain money without having to show income, show credit or even have to pay back the bank. Growing in popularity, a Home Equity Conversion (HECM). Also called a Reverse Mortgage, a HECM is a fantastic home equity solution for older Americans because it eliminates the need for monthly home payments.
Use the equity proceeds on whatever you see fit.
• Possible key component to retirement.
• Eliminates your existing home payment
There are few types of options that come along, you should always review the different programs and comparisons before you decide on a particular one. Contact us for more information about this program that is designed for people 62 and older. Call us 800-535-0270.
We Wanted to address a few things as a follow up to prior notification to make sure everyone is aware of the procedures for processing with us to get your loan closed.
We make sure that on all new submissions we need to have the submission form fully completed and follow the submission checklist for required items. ( this saves time for underwriter hold ups on missing documents).
It is imperative for us to use the submission form to give a brief synopsis on your loan scenario so the underwriter is aware of how we properly package the loan and what we are trying to accomplish for the borrower. Additionally, if it is a scenario you have discussed with us in advance and there are some nuances to the deal please let us know. Completing the submission form on our end will make your approval more streamlined and avoid any unnecessary delays.
Once the loan is approved the underwriter will issue a commitment letter with some conditions that need to be met, like an updated pay-stub, or a copy of the down payment check and so forth.
We use a condition cover sheet when submitting conditions to the underwriter if we are providing a different item to clear a condition than what was requested these conditions form will help make that clear to us and allow the underwriter to mark the conditions fulfilled accurately.
Once all conditions have been met, we are ready for closing.
We upload a closing request form to the closing department. We do not schedule closings until the file is actually CTC ( Clear To Close) but if the form is in the file we can proactively check the attorney info and complete our employment income verifications as needed. The closing department does require 24 hours notice to schedule the closing once the file has the CTC (clear to close) issued. All CEMA ( for refinances) docs must be approved prior to the 24-hour request mark.
Our turn time is for closing loans is impeccable, we can actually accommodate same day closings, providing all parties are ready.
Again, thank you as always for your business and please let us know if you have any questions. 800-535-0270