Dear Readers -
GEORGE SOUTO from Middletown, CT teaches us with every post he writes about Mortgages. His local event posts are interesting as well - don't miss them!
Agents ask prospective Clients if they have their "Mortgage Letter". When presented with the document, the Agent assumes the Buyer told the truth to the lender. No point in hiding or exaggerating details.
Remember - regions may differ but the truth is always the truth.
You might enjoy these essential posts by George Souto as well: List of Documents Needed and also Pre-Approval, Pre-Qualified or Pre Committment.
Have a happy day -
PS Just in case I haven’t thanked you personally, I really appreciate every time you stop by to read and/or comment on my posts. L.
One of the most important things during the Mortgage Process is for the Borrower(s) to be completely honest with their Loan Originator, and Tell The Truth, The Whole Truth, And Nothing But The Truth! Unfortunately this is not always the case, and creates problems which could have been avoided if the Borrower(s) had been completely honest from the beginning.
A Loan Originator cannot advise a Borrower properly, and avoided issues with a loan unless the Borrower not only answers the Loan Originators questions honestly, but also makes the Loan Originator aware of any up coming changes in their life. When a Borrower does not tell the truth, or does not give the Loan Originator the whole story, bad things happen and loan falls apart. Example of this would be:
- Where are the funds to pay for the down payment and closing cost coming from.
- Have they applied recently for more credit such as:
- New credit card
- Car Loan
- Student Loan
- Personal Loan
Anything which would cause their Debt-To-Income Ratios to change, needs to be know as soon as possible.
Same with Employment. Anything which impacts the Borrower(s) employment is very important to inform the Loan Originator right away. For example:
- Taking an extended leave of absents after the loan has gone into process, such as:
- For health reasons.
- Maternity Leave.
- Reduction in pay.
- Planning to change jobs during the Mortgage Process.
Employment verification is done twice during the Mortgage Process. First time when a loan goes into process, and second time just before the loan closes. If there is going to be any changes during this time period the Loan Originator needs to know upfront. Other important things to know upfront are:
- If the Borrower(s) have not filed taxes, and if not when will they be doing it?
- Are they going through a divorce?
- Anything unusual happening in the Borrower(s) life.
These are just a few things, but they give an idea of what needs to be discussed with the Loan Originator ahead of time. The Loan Originator needs to know everything, even if it does not seem important at the time. If the Loan Originator knows of a possible issue ahead of time, the Loan Originator can address the issue quickly and early in the Mortgage Process.
Honesty during the Mortgage Process is a MUST! This is not an option, it is a MUST, or nightmares are very likely to occur. Nothing positive comes from trying to conceal information, only bad things come out of that. The Loan Originator is on the Borrower(s) side, he/she is there friend not the enemy. The Loan Originator's goal is the same as the Borrower(s), to get the loan approved as quickly as possible, and with as little drama as possible. This goal can only be accomplished if the Borrower(s) are completely honest with the Loan Originator, and Tell The Truth, The Whole Truth, And Nothing But The Truth!
Info about the author:
George Souto NMLS# 65149 is a Loan Originator who can assist you with all your #FHA, #CHFA, and #Conventional #mortgage needs in Connecticut. George resides in Middlesex County which includes #Middletown, #Middlefield, #Durham, #Cromwell, #Portland, #Higganum, #Haddam, #East Haddam, #Moodus, #Chester, #Deep River, and #Essex. George can be contacted at (860) 573-1308 or email@example.com
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