Friday, January 16, 2009

Things you may want to know before submitting a package

What is happening today in mortgage lending:
As of Jan 24th Du will be updated. The up date will now show the correct county limits. The update will also make it so a VA cash outloan with loan amounts over the $144,000 will not get an ineligible just because the loan amount is exceeded.

Non Traditional credit will now require that the credit bureau provide Names and address of the trade line being verified. As of Jan 1, 2009 credit reports are only good for 60 days up to final approval. If a loan was final approved with in the 60 days the loan must close and fund within 120 days of the credit report.

If the mortgage rate is lower on a transaction after the approval is issued and there is no other issues on the loan it does not have to go back through underwriting.

FHA loan with and without a DU or LP approval must have compensating factors if the DTI is over 43%

FHA transactions that require two appraisals one appraisal can be a 2055 exterior. We do allow a 5% variance between the two appraisals.

Shirley Nault has been a mortgage professional for over 20 years. Visit her other mortgage web sites go to: or

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