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RE-PULL A CREDIT REPORT AT THE CLOSING TABLE? Starting with new applications as of yesterday, 6/1/10, Fannie/Freddie are requiring that lenders pull a final credit report just prior to closing. If a buyer’s credit scores have lowered, new debt has occurred, etc., then this could stop a closing in its tracks.
We have started to forewarn borrowers of this. One of my coaching colleagues put the following together. It’s quite true (and relevant) … and we will be reinforcing this with EVERY new home buyer:
THE TEN COMMANDMENTS
When Applying for a Mortgage
1. Thou shalt not change jobs, become self-employed or quit thy job.
2. Thou shalt not buy a car, truck or van (or thou may be living in it)!!
3. Thou shalt not use credit cards excessively or let current accounts fall behind.
4. Thou shalt not spend money thou have set aside for closing.
5. Thou shalt not omit debts or liabilities from thy loan application.
6. Thou shalt not buy furniture.
7. Thou shalt not originate any inquiries into thou credit.
8. Thou shalt not make large deposits without checking with thou loan officer.
9. Thou shalt not change bank accounts.
10. Thou shalt not co-sign a loan for anyone.
I have been in the mortgage industry for a long time, worked hard to help home-buyers in Dakota and Scott Counties and have overcome many challenges in the industry. We will get through this and other changes also … As we need to remember: people still need homes (that fact has not changed). It is up to us to help our customers anticipate problems up front and not at the end of the transaction. THAT is the difference between an experienced loan officer and a team such as mine VERSUS those who are “practicing” on your loan. This has become the “New Normal” in mortgage lending. If you can assist us by vigilantly obeying these commandments and disclosing EVERYTHING to my team during and after the loan application all the way through to closing… You will certainly have a much more pleasant transaction.
Would you like to learn more about how to qualify for a mortgage? Contact Carrie Guarrero Today!
Carrie Guarrero is producing Regional Manager and Vice President of Cornerstone Mortgage Company in Burnsville, Minnesota. If you are looking for Burnsville real estate, contact Carrie first!
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It’s crazy how many rules and regulations there are now in the lending industry. It’s so regulated my friend descibed being a loan officer as “a government employee”.