HI There,
I am FINALLY about to enter into the underwriting process and I have been asked to supply LOEs for a few items prior to U/W.
2 were simple: Address Discrepancy (Employer did not update residence to rental - still using parents address) and 1 for credit inquiry (car shopping in winter, ended up not purchasing - no new credit acquired).
My question is regarding LOE and papertrail for large deposits.
There were 5 - 1 from April and 4 from May. All were in check format.
The 1 from April was a check from my grandparents for my husband replacing a faulty water softener for them while they were in Florida. My husband is not on the mortgage as we have a new business that is not being used as income as we are currently working on building business. Check was clearly written out to my husband and copy of cancelled check can be sourced and submitted.
4 from May were various expense reimbursements written out from the Business checking account.
My question is HOW MUCH documentation does the U/W usually need/want. I don't wan't to submit too much and possibly create a red flag. Is a simple LOE and cancelled check enough? Or do we have to sort through receipts/submit expense reimbursements, etc. I am a nervous wreck as the business has not been questioned or brought into the process and as it is new I am afraid it will cause a serious delay if we have to start suppling tons of extra documentation.
*** Also to note: I am located in NJ, applying for USDA Guarantee 100% financing so reserves are not needed for closing (should be less than $100 needed to be brought to closing table according to LO. The only funds we need to supply is an Earnest Money Deposit which is to be held in my attorney's escrow account and given back as soon as closing happens - only being used to show seller we are serious as they had concerns with the $0 down payment with USDA ***
Thank you all in advance - I would have NEVER gotten this far if it was not for this board!
