Question about fha underwriting....?

Question

Ok I know this is my second question today, but I just got a call from our loan officer and he says that the underwriter is requesting some more documents, which is really frustrating because we were hoping to get the clear to close today. These are minor things, and the loan officer says that he is going to go above the underwriter, to someone higher up, and everything should be fine. However, this is what was said last week too. We are scheduled to close on Friday. I've already given notice to my landlord, and I am supposed to be out by the 1st. Is it normal for the underwriter to still request info this close to closing, or is my loan officer not telling me everything? This is so nervewrecking!!!!!

Answer 1

While it may not be normal, it is not unheard of.  If these are minor documents and easily accessible, just send faxes immediately - it will probably take longer for the loan officer to find someone to determine whether the documents are really needed (and you have only delayed the inevitable if they decide they are needed).

Answer 2

Am in the same boat but VA and supposed to close Thursday and of course we need more documentation.  Seems like common sense have left these people  Have sent multiple copied checks and money orders that show my daughter yes does indeed make her car payments and not me (co-signed the loan) bank screwed up and missed a few months (that I paid for to get)  so three days away and have problems. Just waiting to hear from the underwriters. d**n never want to go through this again. Same situation with the landlord and of course the electric, cable direct tv and all being scheduled to be disconnected or added

Answer 3

Pin them down, but give them an opportunity to save face by saying:

"Ok, can you please check if there is anything else.  I'm glad to get you whatever you need, just let me know!"

Loan officers will not intentionally keep your loan from closing - that is how they get paid :)  However, FHA is much more stringent than conventional loans on documentation and requirements and your loan officer may not have much experience with FHA loans.  That's ok, but stay on top of them so that the squeaky wheel will get the grease.  If need be, ask to speak to his or her supervisor.  Most of the items you are required to give are known up-front, but there are certainly times when underwriters, after further review, require additional documentation.  Sometimes this can be headed off by more experienced loan officers, other times it is the nature of the beast.  

I would certainly move it up the food chain.  FHA has become very popular after falling out of favor for the previous 3-4 years.  But with that, many people are understaffed and the loan officer may be in a long line waiting to get answers, regardless of how often you ask them or when they tell you they will "know".  

Be persistent, but patient and get more clarification on anything else that might pop up.  Is that the ONLY item left for clear to close?  

Best of luck, stay the course and you will be glad in the end.  I wish the process were easier, but it is not always a perfect system.

Regards,

Joe...

Answer 4

This is normal, and if you aren't through underwriting, you couldn't have gotten documents together to close by today anyway.

FHA is a government agency, as such, not known for speed.

This probably has very little to do with your loan officer, and threatening to tiptoe over the underwriter's head is most likely a fruitless effort.