I finally heard back from my loan processor. The underwriter wants some older W-2s from 2005, which I understand..but they want a letter from my parents saying I lived there rent free. Why in the world would they need that?
2007-08-21 13:48:17 · 8 answers · asked by buffyfan80 2 in Business & Finance ➔ Renting & Real Estate
They are verifiying your rental history and if you were not paying rent, then they need a letter stating that in your file. Some people say they were staying somewhere rent free when in reality they were paying for rent somewhere and did not pay on time and did not want the underwriter to know they had a bad rental history.
2007-08-21 14:35:07 · answer #1 · answered by Michelle 3 · 0⤊ 0⤋
This is a normal request. The underwriter needs the letter because without it they would need some way to verify the timely payment of rent. If you "lived with parents, paid no rent", then the question is answered without needing to verify anything.
2007-08-21 13:54:20 · answer #2 · answered by Anonymous · 0⤊ 0⤋
Just give it to them. These underwriters are flexing their muscles these days because of the whole loan mess. They really don't know their a... form a hole in the ground. I'm an appraiser, I deal with the everyday.
"oh there is no deck, send me a picture that the patio door is secure from someone falling out"! DA so I have a picture of a piece of wood screwed into the frame so the door can't be opened. I use that one everytime. They aren't too bright.
2007-08-21 14:11:01 · answer #3 · answered by Anonymous · 0⤊ 0⤋
You have to account for all your residency within a certain time period. If you're still living with your parents or recently moved out, it might have to do with calculating your debt ratio. An underwriter can almost ask for anything they want.
2007-08-21 13:57:29 · answer #4 · answered by Anonymous · 0⤊ 0⤋
It would be something to explain a period where there is no rental verification available - sometimes, to cover up a bad history of late rental payments, people will lie to a loan officer and say "Oh, that year I didn't live in an apartment. I moved back in with my parents. I don't know why that apartment complex says I owe them money....."
2007-08-21 13:54:10 · answer #5 · answered by teran_realtor 7 · 0⤊ 0⤋
Investors require a two year history of where you have lived. The request has nothing to do with verifying timely rent payments. This is a normal procedure.
2007-08-21 13:57:06 · answer #6 · answered by rojo_jojo 5 · 1⤊ 0⤋
just a verification process, they want to mke sure you don't owe some back rent to someone that could limit you from making payments or perhaps hide a bad debt. It isn't your fault, others have tricked them and we all suffer
2007-08-21 13:54:53 · answer #7 · answered by Domino 4 · 0⤊ 0⤋
As proof that you can afford to make the payments. Sounds reasonable to me.
2007-08-21 13:54:05 · answer #8 · answered by Laredo 7 · 0⤊ 0⤋