By Brandon Cornett | © 2019, all legal rights reserved | Duplication prohibited
Reader question: “We were expected to create a page of description for the mortgage lender’s underwriter, regarding a bank overdraft charge. These were struggling to give a template or sample for a home loan letter of explanation, nonetheless they did state to help keep it easy. How come mortgage brokers request letters of description, and do a sample is had by you template we could used to get going? ”
The page of description (or LOE for short) is just a part that is common of home loan underwriting and paperwork procedure. Some borrowers panic whenever an underwriter requests such a page, since they believe the loan is likely to be rejected. But that is not necessarily real.
In reality, a request an LOE is normally the best thing, since it means the underwriter is wanting to document their means around a particular problem so they can clear the mortgage for financing. So you might think about it as going one action closer to closing. The important thing would be to cope with it in a manner that is timely. Continue reading Mortgage Underwriting Letter of Explanation: Test and Overview