Question: What are the FHA loan requirements for the purposes of a repair escrow holdback? My appraisal came back with two things that need repair which we can do ourselves. Thanks. My answer: Marie, FHA has guidelines on escrow holdbacks for repairs that can be pretty tough. For example, they are not permitted for… structural […]

I will publish the visitor question on shopping multiple mortgage companies and then answer it below. Ron asks… Are there any concerns or issues that I should be aware if I have been prequalified with one lender, but have decided to check other companies? I have made an offer on a home and in the […]

Here is a great question which I was shocked it took so long to be asked. Does the borrower have a say in what appraiser, appraisal company, or appraisal management company does the appraisal? My answer: With the mortgage meltdown came new rules about how appraisals get ordered and by whom. But before I get […]

I will condense the question but post the full question the visitor actually posted…then I will answer. The question: Am I eligible for an FHA mortgage if I used a short sale on my last home? Could you help me understand this guideline from FHA? We are going to have to short sale our home […]

Here is the question… Does an electronically initialed loan application entitle the lender to charge a fee if no wet signature is ever submitted? Quicken Loans is charging me $550 based on my electronic initials even though they told me I was under no obligation unless I submitted the wet signature. My answer: I have […]

The question… I hear a bunch of news stories about how there is a credit freeze and mortgages are harder to get these days. So, is it true that mortgage borrowers are getting denied more often now? My Answer: In a word…”Maybe”. With the mortgage meltdown in full swing, it might seems logical to believe […]

The question… What are the penalties for lying on a mortgage or refinance application? Claiming that you are married…when you are not. What if the ex-wife forges the signature? What are the ramifications? My answer: Lying on a Mortgage Application Falsifying information on a mortgage application is a form of mortgage fraud. You must know […]

Here is the question… Does YSP apply to government mortgages as well creating higher than necessary FHA and VA mortgage rates? I have a friend who swears that FHA rates are FHA rates because of the assistance aspect - no more, no less. I am fairly confident that it does not matter and those government […]

Here is the question… I am going through a loan modification. They advised me not to pay my mortgage this month. I am not behind on my mortgage, but owe more than my house is worth and my second mortgage is 12%. They advised me that my credit would be put back where it was […]