I wish there was a category for dumb ideas and then I could have placed this blog in there.
Â If you are buying or refinancing you will now source ANY deposit over $100 per Fannie and Freddie. So if Grandma gave you $101 for your birthday you better keep a copy of the check.
I am writing this as I listen to the Romney-Obama debate about too much government regulation and I heard Gov. Romney mention how hard it is too get a mortgage.
Depending on what the source of the money is you may have to just write a letter of explanation and produce a copy of the check even if it's from months ago.
Realtors please prepare your clients for silly things like this, it would be doing your lender friends a big favor.
How this will make better quality loans is beyond me. We can't even back out the money like we used to be able to do. If the source is clearly marked like a paycheck direct deposited or a tax return then lenders don't have to bother you. If it's just a deposit with no source you have to do it and any lender who doesn't isn't following the rules and soon will have their hand slapped.
Hope this helps and please let me know if there any questions and hope this was helpful.
Senior Loan Officer
1ST Mariner Mortgage
Lending in all 50 states