This guide covers the mortgage process leading to clear-to-close and closing on time. The basic steps in the mortgage process leading to clear-to-close and closing on time. The mortgage loan and approval process starts when the mortgage processor is assigned to the borrower’s file. The loan officer will be alerted once the applicant completes and…
This guide covers changing lenders during the mortgage process. Is changing lenders during the mortgage process a good idea? You want to avoid changing lenders during the mortgage process if at all possible. Changing lenders during the mortgage process will cause delays in closing on your home loan. Our mission at Gustan Cho Associates is…
This article is about the Verification of Rent on manual underwriting required by lenders. Verification of rent is one of the most important items borrowers can provide a residential mortgage lender to qualify for home loans even though rental payment history does not report on the three big credit bureaus. Transunion Experian Equifax Verification of…
This blog will cover and discuss manual underwriting credit guidelines on VA and FHA loans. VA and FHA allow for manual underwriting. Fannie Mae and Freddie Mac do NOT allow manual underwriting on conventional loans. According to Angie Torres, the National Operations Director at Non-QM Mortgage Brokers, manual underwriting is defined as follows: Manual Underwriting…
This guide will cover how a credit dispute on a derogatory credit tradeline can halt the mortgage process on FHA loans. Millions of Americans fell victim to the economic, real estate, and banking collapse of 2008. The Great Recession of 2008 devastated more families than any other in U.S. history. Dale Elenteny of Non-QM Mortgage…
Apply Now This article will cover going through credit repair to qualify for mortgage. Is going through credit repair to qualify for mortgage recommended? Consumers’ credit scores determine whether or not they qualify for a particular mortgage loan program. There are minimum credit score requirements for all loan programs. To qualify for a 3.5% down…
The difference between a mortgage pre-approval versus pre-qualification is that a mortgage pre-approval letter is issued by an underwriter after the loan has been fully underwritten. Unfortunately, many loan officers issue pre-approval letters without the file being processed and underwritten The way mortgage companies issue pre-approvals vary from lender to lender Non-Qm Mortgage Brokers is…
In this blog, we will discuss and cover TBD property mortgage approvals as pre-approvals. The traditional way of going about getting a mortgage pre-approval is to contact a lender to get qualified and pre-approved. The pre-approval is not an official approval. Pre-Approvals are by no means a guarantee that a mortgage loan will get approved….
DTI manual underwriting guidelines on FHA and VA loans are similar. FHA and VA loans are the only two loan programs that allow manual underwriting on home mortgages. Many people are often confused about the differences between manual underwriting and automated underwriting system (AUS) approved files. Manual and AUS-approved underwriting is the same. However, with…
In this blog, we will cover and discuss the automated findings of refer versus approve/eligible per automated underwriting system. The U.S. Housing And Urban Development (HUD), the parent of FHA, has changed its algorithms for the Automated Underwriting System (AUS). It is now tougher to get approve/eligible per automated underwriting system (AUS) for borrowers with…
In this blog, we will cover and discuss how to write a letter of explanation to underwriters during the mortgage process. Borrowers who are either buying a home or homeowners who are refinancing their home loan go through the mortgage process by completing and submitting a mortgage application called 1003. Completing a mortgage application officially…
In this blog, we will cover VA Manual Underwriting Guidelines During Chapter 13 Bankruptcy Repayment Period. VA loans are home loan programs for active and/or retired members of the United States Armed Services with a Certificate of Eligibility. The Certificate of Eligibility is also referred to as the COE. Only active-duty and retired members of…
In this blog, we will discuss and cover compensating factors manual underwriting guidelines on FHA and VA loans. VA and FHA loans allow for manual underwriting. Fannie Mae and Freddie Mac do not allow manual underwriting on conventional loans. There are instances where borrowers cannot get approve/eligible per the automated underwriting system on VA and…