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Personal Finances / Buying or Selling a Home


Subject:  Re: FYI: When Rules Collide Date:  7/14/2013  2:22 AM
Author:  CCinOC Number:  125777 of 128885

Husband has a W-2 job making about $200k a year. [...] The husband's income is more than sufficient. [...] However, the automated systems at Fannie and Freddie demand that there be a letter from their tax preparer in the file any time there is a business on the return.

That's right. Sounds like prudent underwriting to me, which I presume you would agree is important. Her business income had to be documented to prove that the expenses of her business weren't bleeding the family dry--which can occur, for example, with a start up business.

Again, you don't know anything about loan originating. The requirement for a letter from a tax preparer was nowhere to be found in the DU [Fannie Mae Desktop Underwriter] underwriting findings. That was prudent underwriting by the human who underwrote the file. In essence, the underwriter proved, not with "a few notes on the file"--what the hell is that?--but with documentation that the husband's income was sufficient.

Sounds to me like you're irked that you were asked to provide a service to your customer for which you perhaps didn't get paid.
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