Home appraisals are an important step for lenders to finalize the loan process. Banks will do not approve a mortgage that exceeds the actual value of the property. This is the reason it is important to get the borrower’s property evaluated before final approval on the loan is issued by the bank. Once the borrower makes an offer on his…
Underwriting
It is often believed that mortgage is a long and complex process. To an extent, it is even true. However, an efficient mortgage professional’s job is to ensure that each applicant is thoroughly reviewed before the loan application is submitted for approval. Knowing before hand about the borrower’s credit history and their paying ability can reduce the costs associated with…
In a recent judgment, the U.S. Supreme Court ruled that a second mortgage on an “underwater” home cannot be treated invalid during bankruptcy. To explain what this recent win means and how it affects lenders, it’s important to understand the history behind the concept of lien stripping. This means that homeowners who file for Chapter 7 bankruptcy are eligible to…