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em5353
17 Posts |
 Posted - 05/23/2008 : 11:40:46 AM
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having similiar problems on multiple files here in our office. DU gives us income waivers but the lender still finds some bull**** reason to ask for income docs. I was told by my AE at indymac that new Fannie Mae is transitioning to no income waivers at all. The files are strong, but self employed borrower who take great liberties with writing stuff off.
Example of one file I have going now with Wells
821 Fico
400k in Reserves
80% Purchase
Both borrowers are self employed |
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mschwader
99 Posts |
Posted - 05/23/2008 : 11:44:08 AM
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Run it through Countrywide's CLUES system. They still offer Fast and Easy, if the parameters are just right. I'd say its worth the $15 credit pull to check it out.
quote:
Originally posted by em5353
having similiar problems on multiple files here in our office. DU gives us income waivers but the lender still finds some bull**** reason to ask for income docs. I was told by my AE at indymac that new Fannie Mae is transitioning to no income waivers at all. The files are strong, but self employed borrower who take great liberties with writing stuff off.
Example of one file I have going now with Wells
821 Fico
400k in Reserves
80% Purchase
Both borrowers are self employed
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em5353
17 Posts |
Posted - 05/23/2008 : 12:54:21 PM
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| thanks, ill do that right now |
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fund-n
320 Posts |
Posted - 05/23/2008 : 1:12:54 PM
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| we just got a ctc on a 330% dti with suntrust LP accept plus 80ltv r&t (no bs, no typo) |
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joeyostjr
186 Posts |
Posted - 05/23/2008 : 7:34:50 PM
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I just went through this 3 times this month and ended up closing all of them with Flagstar.
mschwader.... Is CW still doing Fast and Easy? Retail but not wholesale right?
Thanks |
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EquitySmart
1240 Posts |
Posted - 05/23/2008 : 8:36:53 PM
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quote:
Originally posted by joeyostjr
mschwader.... Is CW still doing Fast and Easy? Retail but not wholesale right? Thanks
Yes they are ... sorta. You can no longer select Fast and Easy as the documentation type, but the AUS findings may give you SISA findings, which allow you to follow the same guidelines as the old Fast and Easy product. The underwriter may still counter the file to full documentation, if the income or assets do not seem reasonable for the borrower (just as they could when underwriting Fast and Easy loans before). |
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peter
4937 Posts |
Posted - 05/23/2008 : 9:24:06 PM
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I just got an income waiver for the self-employed who is
refinancing rate and term at 62% LTV, 803 midscore, conforming
L/A, from DU and Homescoming Financial is accepting it at
face value. I also got a PIW (property inspection waiver) as
well. So, I think only when the LTV is higher like 70% & up
and the overall file is not immaculate, then the underwriter
will counter for 1040's making it full doc.
It depends on the servicing portfolio capability of the
lender. I had one file with over 740 midscore, full doc
paystubs/W-2s with plenty of reserves, but still Provident
Bank Mortgage is stipping a PTD for 4506T. They are just
worried that the loan might come back to them and they have
no servicing capability. All big banks normally don't
"Mickymouse" like smaller lenders who sell mortages back-to-
back to investors right away upon closing. They have to
protect themselves to the tilt.
Peter |
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cindyhulett
435 Posts |
Posted - 05/23/2008 : 11:08:56 PM
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| Sierra Pacific as well. |
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peter
4937 Posts |
Posted - 05/24/2008 : 10:40:28 AM
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Thanks, Cindy, and I would want to add Sierra Pacific as our lender.
But what does Sierra Pacific have that Wells and HomeComings don't These
are my 2 go-to lenders.
Peter |
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hbailey3
58 Posts |
Posted - 05/24/2008 : 12:36:04 PM
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| Countrywide, CITI, Wachovia-are three I've recently used. You have to make sure the 1003 is put together really good. Have assets (cars, boats, jewerly etc..) that support the income being represented. This makes it easier for the undwerwriter to honor when DU or LP waives income. One underwriter told me -" -we want to make sure the 1003 reflects the person's income-(make a 100k plus a year-your cars, assets etc.. in the bank-should represent-(for the most part) |
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AGreene00
2901 Posts |
Posted - 05/24/2008 : 1:38:24 PM
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| I've had underwriters/AE's recently advise me on the SISA program to state less than what they actually make in order to keep the loan in SISA status and not get countered to full doc. For instance, if they truly make 100K and the ratio is something like 25%, instead state 80K at 37% back end ratio. I think alot of the underwriters want to make the process easier but they simply have to adhere to the tighter guidelines and underwriting. |
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Scrooge McDuck
9824 Posts |
Posted - 05/24/2008 : 2:01:55 PM
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| ive had CW, tbw, flagstar, provident and senderra all counter at full doc on an income waver deal i have. cw even countered full doc on a fast and easy deal i submitted. |
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peter
4937 Posts |
Posted - 05/24/2008 : 2:17:33 PM
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This is odd. I ran LP thru HSBC listing the assets and with 60% LTV rate and term,
the LP asked for 2 months PITI asset verification with a full appraisal. So, I
went back to DU thru HomeComings and since my A/E advised me that rate and term refi
at lower than 70% LTV does not require any asset, so don't even list the asset!
I followed her advice strictly and listed zero asset. I got DU/Eligible with
both an income waiver and an asset waiver which is a de facto SISA, plus PIW
Property Inspection Waiver that I will save my borrower the appraisal fee as well.
I think it is best to talk to your A/E about the circumstances of your file
before submitting it to DU or LP as the depth and breadth of your A/E's seasoned
experience will aid you towards successful DU or LP approval. There are certain
nooks and crannies in everything that we do.
Peter
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Scrooge McDuck
9824 Posts |
Posted - 05/24/2008 : 2:32:50 PM
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| well, im glad you discovered that homecomings is the bomb. |
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cindyhulett
435 Posts |
Posted - 05/24/2008 : 4:02:20 PM
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quote:
Originally posted by peter
Thanks, Cindy, and I would want to add Sierra Pacific as our lender.
But what does Sierra Pacific have that Wells and HomeComings don't These
are my 2 go-to lenders.
Peter
They are a good A paper company that seems to not cut as much value as Wells or Homecomings. They are pretty quick. Their rates are better than Flagstar's and I love Flag, but.. Call Anthony Finney at 858-688-3778. I think that is his #. I normally deal with lenders via email. Contact him and get the correct web address cuz it's easy to bring up the wrong site, and I don't have it here at home. This is his email address. Tell him I sent you. :-)anthony.finney@spm1.com |
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peter
4937 Posts |
Posted - 05/24/2008 : 4:07:43 PM
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Thanks, Cindy, and I will e-mail him.
Peter |
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slants
4309 Posts |
Posted - 05/24/2008 : 5:28:56 PM
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quote:
Originally posted by peter
This is odd. I ran LP thru HSBC listing the assets and with 60% LTV rate and term,
the LP asked for 2 months PITI asset verification with a full appraisal. So, I
went back to DU thru HomeComings and since my A/E advised me that rate and term refi
at lower than 70% LTV does not require any asset, so don't even list the asset!
I followed her advice strictly and listed zero asset. I got DU/Eligible with
both an income waiver and an asset waiver which is a de facto SISA, plus PIW
Property Inspection Waiver that I will save my borrower the appraisal fee as well.
I think it is best to talk to your A/E about the circumstances of your file
before submitting it to DU or LP as the depth and breadth of your A/E's seasoned
experience will aid you towards successful DU or LP approval. There are certain
nooks and crannies in everything that we do.
Peter
Thanks for your info Peter. As usual, your experience and willingness to share will save many of us a lot of grief and research. |
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EquitySmart
1240 Posts |
Posted - 05/24/2008 : 5:49:06 PM
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quote:
Originally posted by peter
This is odd. I ran LP thru HSBC listing the assets and with 60% LTV rate and term,
the LP asked for 2 months PITI asset verification with a full appraisal. So, I
went back to DU thru HomeComings and since my A/E advised me that rate and term refi
at lower than 70% LTV does not require any asset, so don't even list the asset!
I followed her advice strictly and listed zero asset. I got DU/Eligible with
both an income waiver and an asset waiver which is a de facto SISA, plus PIW
Property Inspection Waiver that I will save my borrower the appraisal fee as well.
I have not used HSBC much, but it is possible this is just a difference between DO and LP, so you may want to try submitting the file to DO findings through the HSBC website (if possible) since you may get the same SISA findings as Homecomings DO... |
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peter
4937 Posts |
Posted - 05/24/2008 : 6:55:15 PM
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Yes, Sam, thanks for your suggestion. However, I checked
with HSBC and just found out their new rule: HSBC will not
underwrite any file even if it is DU or LP approved, unless
the appraisal is also given to them. A one-time exception
may be granted by submitting a request through an HSBC A/E
that the broker or the L/O will fund the loan with HSBC.
The new ruling by HSBC came into my knowledge this week, and
I thought it was rather an uncompetitive practice during
current times while other top lenders are competing for
brokers' good loans. Why should I do business with a lender
who demands an appraisal upfront and a written promise to fund
a loan with them when I can easily submit the good loan to
any other top lender like Wells, Homecomings, Chase, etc. without
an appraisal until underwriting is completed and at least
a conditional loan approval is received?
Of course, it is the prerogative of the broker and his
L/O to switch lenders as much as the consumer can switch buying
from Nordstrom to Macy's. Should a Nordstrom salesperson
insists that I must promise to buy a suit before I can try it
in the men's fitting room?
Peter
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EquitySmart
1240 Posts |
Posted - 05/24/2008 : 7:02:54 PM
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See current HSBC underwriting turntimes: https://webloan.us.hsbc.com/hsbc_lqrnet/
They understand this will anger some brokers. They have most likely implemented this policy to reduce the number of files being submitted, to give their underwriters time to reduce the turntimes. The policy might be relaxed when underwriting turntimes improve... |
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peter
4937 Posts |
Posted - 05/24/2008 : 7:17:57 PM
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In recent months, I have found HSBC's policy quite
uncompetitive with other leading lenders while their pricing
falls far behind Wells at least. About a month ago, I got
an e-mail announcement that HSBC will no longer pay for the
cost of pulling DU and LP thru them but the broker would have
to pay for it. And in just about a week later, HSBC retracted
this policy and is now allowing a free DU and LP again but
now insists on having the appraisal upfront.
Can someone tell me what are the definite niches that HSBC
has that other lending lenders don't have that warranted them
to issue such an inflexible policy?
Peter
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peter
4937 Posts |
Posted - 05/24/2008 : 7:42:34 PM
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FYI, I received a flyer from Bankers West Mortgage that
they have a wage earner only income waiver program up to
75% LTV, for rate and term, cashout, or purchase, with
a minimum 700 midscore. 2nd home and non-owner included.
This must reflect the DU guidelines on income waiver and
DU should give approvals on these parameters.
You might want to see this program on bottom of page 1
of their rate sheet via www.bankerswest.com A/E is
Denise Kish (denise@bankerswest.com). They are in Anaheim.
I've not done business with this lender yet.
Peter |
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EquitySmart
1240 Posts |
Posted - 05/25/2008 : 12:26:32 AM
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quote:
Originally posted by peter
Can someone tell me what are the definite niches that HSBC
has that other lending lenders don't have that warranted them
to issue such an inflexible policy?
They are willing to consider FHA loans with credit scores under 580. Otherwise they typically do not seem to be worth using in most cases (for my branch anyways). |
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peter
4937 Posts |
Posted - 05/25/2008 : 8:57:48 PM
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Sam, again thanks for your feedback. In conventional loans,
HSBC does not require any MLS seasoning and I did a refi
cashout loan with them after the property was de-listed for
just 2 months. Also, the refi cashout was based on the newly
appraised value as well while Wells turned down the loan
as Wells required a minimum 6 months' seasoning.
Peter |
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