Top Reasons Mortgages Had Problems with 2013


SellAHomePeople are really unique and because of this every mortgage is unique.  Almost every loan will have an issue that requires further documentation and some will have many issues. Over the years I have compiled the “avoidable problem” list. I send this to everyone early in the process because if I know about these things early I can almost always work around them so that the closing happens smoothly. Do you see anything here that could impact your loan? If so, let me know.
Top 11 reasons loans had problems in 2013:
1.) Down payment funds coming from unknown sources such as cash, non-family gifts, loans.
2.) Name changes that have not been registered with the Social Security Administration.
3.) Tax returns given to me that did not match returns filed with the IRS.
4.) Tax returns given to me were not filed yet or unable to find all schedules including K-1 forms to show ownership in a company.
5.) Appraisal too low and does not justify the purchase price or loan amount required for refinance.
6.) Second mortgage closing simultaneously with the first had problems or was delayed.
7.) Job change resulted in loss of commission or bonus income averaged over 2 years.
8.) W-2 employer income was actually found to be contractor/temp income.
9.) Child support/Alimony income needs to be proven with cancelled checks and court orders.
10.) Late payments or job loss after loan app but before the closing.
11.) Problems with an HOA such as litigation or too many rentals.

Leave a comment