One more condition... so stressed!!

[Anonymous]

We have gone through the seemingly long stressful process of pre-qualifying for a loan, putting in an offer, submitting everything LO asked for etc.etc...We have been through underwriting twice now the first time they came back with very simple conditions, mostly LOX for old addresses and an LOX for my non-occupying co-signer that doesn’t get pay stubs. It almost seemed too easy. They never asked to document anything from our bank statements (lots of cash deposots) We turned in everything they needed... no problem.Now they are saying that they need proof of funds that we can pay off our AMEX at the end of the month. I even had to do a three way call with credit reporter and AMEX. We are supposed to close on Tuesday. We have enough money in the bank, but it is from cash deposits.
What are the chances that our loan will CTC? We are using an FHA loan and Down payment assistance through a state program. Does anyone have similar experience or insight? Our LO keeps saying everything looks good, but I can help but stress. She says that they will “hopefully” have CTC Monday... one day before anticipated closing date! Should I be concerned about this round of underwriting?!?

[homeloanexpert]

It's all very normal. Your Loan Officer is the first set of eyes that makes contact with your loan file. This is where an experienced LO can be a shining star or a failure. If the LO doesn't spot the holes in your file, then they rely on the Loan Processor. If the Processor misses some things, then the Underwriter has to call it out in the form of conditions. Since most UW's have a Team Lead, that person will usually give your file a once over before signing off, and generally they find things the UW missed. It's all very normal. The better Team you have, the smoother the process goes. Congratulations on your new home and I hope you get your keys on Tuesday.

Best wishes

[Anonymous]

Thank you for the reassurance. I have felt confident in my loan team so far. Although it has been a stressful process, I expected it to be worse having heard others stories. I haven’t even given my landlord notice yet, because I am constantly stressing about the next step! Keeping my fingers crossed, so I that breathe easier come Monday!

[CAS2019]

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@Anonymous wrote:
Thank you for the reassurance. I have felt confident in my loan team so far. Although it has been a stressful process, I expected it to be worse having heard others stories. I haven’t even given my landlord notice yet, because I am constantly stressing about the next step! Keeping my fingers crossed, so I that breathe easier come Monday!

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Hi Idawyomom!  I just closed escrow this last Friday, and I too, was very stressed.  Similar to you, everything went incredibly smooth (as I too, had been told by various people of their horror stories) yet, I was always on edge.  My LO wold tell me that I wouldn’t be normal if I wasn’t stressed over the loan process.  So, I just want you to know what you are feeling, we all went through and certainly can empathize.   My best wishes!

[Anonymous]

Well my stress was warranted this time! They came back asking me to source all of my cash deposits this month. We made deposits thinking we were good because we already turned in bank statements. One was from a snowmobile sold. We wrote up a bill of sale and LO is hoping they will accept that and an explanation that the rest came from my hubbys cashed pay checks (he is not on the loan). So it’s all a bit difficult to source. We defenetly won’t close tomorrow. Do you think they will accept this as the last condition since it’s not needed for down payment or closing cost? Only to prove funds to pay off credit card.

[JVille]

Snow Machine would have had Insurance and other Proof of ownership (are they titled in your state) but certainly you had it insured and possibly a DMV title transfer.
Husbands paychecks? He cashed them first and then put Cash in your account??? Sorry my UW bs meter is going off (UW think this way they are very suspicious) .. did he deposit that check somewhere and simply receive cash back from the deposit? Either way you can optain copies of that paycheck from the bank acct he did deposit to or from his employer.
Yes every dime of money in your account or funds deposited must be sourced. Your LO should have counciled you are to how to source and what not to deposit during the loan process.
Good luck!