The Five Things Transferees Now Accept as Part of the Mortgage Process

Mortgage lending has received a great deal of press over the last few years.  Even SIRVA blogs have addressed the challenges.  During this time, transferees have found their own opinions changing from the blitz of information on television, newspapers, and on the internet.  It has been quite an education on a topic that was seldom discussed prior to the housing downturn.  As a result, transferees have now become acclimated to this new reality of mortgage financing and have come to accept these five things in the mortgage process:

It’s Invasive
Lender requirements for information and documentation on income and assets have increased to unprecedented levels. Documents provided to a lender can trigger additional requests for information depending on what information is found within those documents.  For example, credit explanations, large deposits on bank statements, even tax transcripts from the IRS to validate reported earnings, all may require additional information to be validated.  Transferees don’t like it; however they have accepted this new level of scrutiny.

It’s Not Just Me
The last time the transferee applied for a mortgage it probably took 10 minutes and required little to no documentation to be approved. The process now is lengthier and much more detailed.  No one is exempt or treated as special. Everyone is put through the same scrutiny and requests for information. Transferees have come to realize that they are not being singled out, but rather, this is how the approval process it is going to be.

It’s Repetitive
As recommended, most transferees obtain a preapproval early on in the relocation process.  This provides time to gather documents, clean up credit issues and put the transferee in a strong negotiating position when buying a house.  Depending on the timing from preapproval to house hunting and then closing on a home, some documents, if they are over 90 days old, will be required to be refreshed to revalidate the information.  Transferees have come to understand that situations can change and aged documents must be updated.

Don’t Take Property Issues Personally
In this real estate market lots of things can go wrong with the approval of the property, which is the collateral of the loan.  Appraisals may not come in at the purchase price, the house may be in a declining market, the comparable sales on the appraisal don’t justify the value, or maybe the condominium is not a lender approved condo complex.  Regardless of the issue, transferees have found that property approval is not a reflection of their ability to pay, their ability to buy smart or them personally.  Property issues happen and transferees are not taking it personally.  http://stlouisrealestatenews.com/real-estate-market/tips-to-avoid-appraisal-problems/

It’s Easier to Cooperate than Fight
Transferees have found the mortgage process so different than it was a few years back.  It would be easy to complain and demand not to be subjected to this level of detail that today’s process brings.  Transferees have found arguing and fighting the request for information won’t change the new rules.  Many have found the best way to quickly be approved and keep the process moving forward is to comply with the loan approval requirements and move ahead.

Today’s mortgage experience can be confusing, frustrating and full of surprises.  A relocation lender will help ease these challenges, discuss and set proper expectations, and assist the transferee in a smooth and timely approval.

Please contact us to see how we can assist your transferees through this process or if you have any questions. To contact the SIRVA Mortgage team, call 1.800.531.3837 or visit SIRVAmortgage.com.