Your Closing is coming down to the wire. All the paperwork has been submitted; "Loan Approval" has been granted. Then the Underwriter calls; they demand More Information. Is this a legitimate request, or are they just trying to make life difficult?
Ellie McIntire blogs that, "some Underwriters seemed to have developed a God Complex".
What are your thoughts? Do you feel that Underwriters are sometimes unreasonable? Are they intentionally trying to make the Loan Closing difficult?
Or, does the Underwriter have a legitimate reason to require more information, given the previous failure of the Lending Industry to properly screen Borrowers?
Read Ellie's Blog, and be sure to read the many comments and opinions that follow.
What is becoming painfully obvious is that some Underwriters seemed to have developed a God Complex. They are more than aware that the fate of a loan lies in their hands and they, in my lowly opinion, are asking for more insignificant information just to make life difficult.
For example: (This is my listing- we are now almost three weeks beyond the original settlement date)
The first requirement that has made the buyers agent head spin is the insistence on having the word PERMANENT added to the buyers medical condition. A mere "this patient will never be able to work again" was not sufficient. The buyer, who us obviously disabled was forced to run around after his Doctor to have a statement provided that his condition was indeed PERMANENT!!!!!
Task # 1 completed.......can we head to settlement?
Slow down Mr Buyer......there are a few more coming at you.
The Underwriter now needs his Divorce decree.......despite being married to his 2nd wife for 18 years......from his 1984 Divorce!
The third and last (hopefully)requirement is PROOF that the children from that 1st marriage no longer obligate him to pay child support.
DOES SHE HAVE ANY MATH SKILLS?
He divorced their Mother in 1984!
The two children in question now have children of their own!
The poor Buyer has had to jump through unnecessary and totally illogical hoops to appease. She wanted their birth certificates as proof. None of these requirements make any sense.
HOPEFULLY we can settle this home in the next few days unless the underwriter is going to require a full blown DNA test!
Disclaimer: Nothing in this blog article is to be construed as legal advice, tax advice, or financial advice. For legal advice see an attorney. For tax advice or financial advice see a tax attorney, certified public accountant, or other qualified professional.
Frederick Griffin, Licensed Real Estate Broker Tallahassee, Florida