Scott Storace - Branch Manager, 100 Pacifica Drive Ste. 140, Irvine CA 92618 NMLS #226339 949.973.0141

"From the minute you call me to the minute we close, I have your back. No hassles, no banker’s hours & quick response times." - Scott Storace

  • Home Loans up to $3,000,000
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The Do’s and Don’ts While Your Home Loan is Processing

Processing home loans may seem more like a date with your filing cabinet. If finding the home is all about location, location, location then getting the loan is all about documentation, documentation, documentation!! We can ease the pain and last minute requests through communication. Below are some of the common do’s and don’ts that can help you prepare for your home loan. Clean documentation makes the process smoother and happier for everybody involved.

The Do’s

Do keep originals of all pay stubs, bank statements and other important financial documents that are over 30 days old prior to the closing of your mortgage loan (even if your loan is already approved).

Do provide all documentation for the sale of your current home (i.e., sales contract, closing statement, employer relocation/buyout program).

Do notify your loan officer, if you plan to receive gift funds.

Do notify your loan officer of any employment changes (i.e., change of employer, recent raise/promotion, change of pay status such as salary to commission, etc.).

 

The Don’ts

Don’t write on any of the requested documents.

Don’t change jobs/employer without inquiring about the impact this change would have on the approval of your home loan.

Don’t make major purchases during or prior to closing (i.e., new car, furniture, appliances, electronics) because this might impact your qualification ratios. Please confer with me so I can calculate what your ratios would be with any additional debts.

Don’t open or increase any liabilities, including credit cards, home equity lines, etc. during the loan process. Please check with me for any documentation that will be required and what impact this would have on your qualification ratios. Stay credit quiet! Fannie Mae’s credit quality initiative states that we have to re-run your credit report just prior to closing. They will check to see if there are any changes to your credit report. All adjustments must be taken into consideration and this could derail your qualification. 

Don’t obtain and/or deposit sums of money over $300 without notifying me. FNMA/HUD guidelines require documentation as to the source of these funds (i.e., copy of bonus check, copy of tax refund, copy of insurance settlement, gift letter with copy of checks and deposit slips, etc.).

Don’t close/open or transfer any asset accounts without inquiring about the proper documentation required for our loan file (i.e., if you transfer all the funds in your stock account to your savings account, documentation is required).

Scott Storace

 

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