Recently I had a buyer who was pre-approved by a major bank and was house shopping. He and his wife found a home they loved and paid for a home inspection and appraisal. Shortly after this, they received a phone call from that bank stating that they were not able to use his wife’s income for qualifying and their loan was no longer approved. He had a pre-approval from the lender just a few weeks ago and thought everything was fine. This is an extremely difficult situation for anyone to be in. Unfortunately, this situation happens by design. You see most lenders don’t want to have an underwriter spend time reviewing things until they can confirm they have a serious home buyer. What does that mean for the home buyer? That means that you don’t technically have an approval until after you have found the home, after you have paid a deposit, and most likely after paying for appraisals, inspections, etc.
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CALIFORNIA NMLS #132166, Loans made or arranged pursuant to a California Financing Law License 603H963
FLORIDA NMLS #132166 Florida Mortgage Lender License MLD117
GEORGIA NMLS #132166, Georgia Mortgage Lender License 64011
UTAH NMLS #132166, Utah DRE Mortgage Entity License 5492042-NMLC
VIRGINIA licensed by the Virginia State Corporation Commission MC-2577
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