Protect Your Local Lender :) (Even If It Is Not Us)

I remember the vicious phone call vividly. I took BART into the City on a Friday night to meet my wife Heejin for a date and was climbing the stairs out of Embarcadero station when I received a call from the angriest borrower I had ever dealt with. She was spitting nails, vitriol and profanity […]Read More

Beyoncé & Jay-Z’s Mega Mortgage, Celebrities Who Went Broke; Why We Underwrite

What do Jay-Z, Beyoncé, and billionaire hedge fund managers have in common besides enormous amounts of money? Answer: Enormous Mortgages Jay-Z and Beyoncé just bought a house for $88 million and financed $53 million b/c they were tight on cash :). Actually, their financial advisor probably told them it was smart to leverage themselves at […]Read More

The Mortgage Underwriting Process Explained

The Underwriting Process There are three main parts to the mortgage process: the beginning, the middle, and the end. Most people are familiar with the beginning – reaching out to start the prequalification process and applying for a mortgage loan, and the end – funding the loan and moving into their dream home. However, the […]Read More

Types of Loans: FHA, VA, Gov’t, Conventional, Conforming, Jumbo, etc.

There is often a lot of confusion about the names and types of mortgages available in the market place. Here is some general information to address some of the confusion. I. “Government Loans” are mortgages that are either insured or guaranteed by the government or a government agency. They include FHA, VA and USDA loans. […]Read More

Changing Close of Escrow Date – Easier Said Than Done

When we have long close of escrows, we often get loan documents to title days or even weeks before the close of escrow. Sometimes realtors then want to move up the slated close of escrow date. This, however, is much easier said than done. All of our loan documents and approvals are based on a […]Read More

Loans = Compliance, Box-Checking, Salability; Not Logic Ever

We have a jumbo borrower right now who is pulling his hair out b/c he is extremely well-qualified but still getting conditioned to death by an underwriter. His file is very complex, as he has assets of all types and multiple income sources. He was convinced the underwriter and investor did not want to lend […]Read More

Cannot Give Value to Un-Permitted Space, In Most Cases

Most lenders allow space built without permits, as long as it was constructed properly and there are no health or safety issues, such as the presence of a stove. Appraisers can tell when there is un-permitted space either by appearance (garage conversion) or when the measured gross living area does not match the county records. […]Read More

Salary + Commission: Need History of Commissions

We have a borrower who averaged $160,000 over the last two years in a commission sales job. He just started a new job with an $85,000 base salary, but with much more commission potential. We may be able to use the average of his previous years’ commissions even though they were earned at a different […]Read More

Irrational and Frustrating Conditions – Today’s Fannie Mae

We had a buyer tell one of our top Realtors yesterday that we are the most ignorant and incompetent buffoons to ever walk the face of the planet. She was utterly convinced that we were looking for a reason to NOT approve her loan. She was livid because we were trying to paper-trail all of […]Read More

15 Day Close? Get Suitcases & Move In With Us – Rules for Fast Closings

We often tout our ability to close purchases in 15 days, even though our Processors and Mortgage Analysts hate it. They dislike touting fast closings not b/c we cannot perform (we can, and then some); they dislike it because even a slightly uncooperative borrower, Realtor or escrow agent can delay us by a week, while […]Read More

Mortgage Lending Process Overview

Mortgage Lending Process Overview Purchase Process Overview with JVM Lending: The below timeline is an overview of the course of events necessary to close your home loan after your offer has been accepted and you are officially in contract to purchase your new home. The “DAYS” set out below are approximations only and are based […]Read More