Review ordered after loan funded

[Vegan702]

Why do you think companies order a review after they have already funded the loan? I have a review for an appraisal that was done 02/2007 and the loan funded 03/2007, so why get the review now vs. before the loan funded?

 

[Otis Key]

Does it really matter?

Probably the MB tried to broker it to one investor who declined it and the MB then brokered it to some other investor who then heard from the UW that said get it reviewed. One thing is for sure, if it's an MB, then get paid up front!!!!!!!!!!!!!

 

[Vegan702]

Does it really matter?

Probably the MB tried to broker it to one investor who declined it and the MB then brokered it to some other investor who then heard from the UW that said get it reviewed. One thing is for sure, if it's an MB, then get paid up front!!!!!!!!!!!!!

Just curious is all. Review was ordered by the lender who funded the loan.

 

[Annemieke Roell]

To satisfy their own guidelines?

 

[Scott Kibler]

I average 5 or so reviews a week and have yet to get one prior to loan funding.

 

[Vegan702]

I average 5 or so reviews a week and have yet to get one prior to loan funding.

I don't usually do reviews, but when I do they have been prior to funding. Maybe it has to do with less risky borrowers/properties vs. higher risk borrowers/properties that determines when to perform the review. Just seemed kind of funny to order the review almost 2 months after the loan funded. I could understand if it was a MB as then the lender could go back after them, but this is from the lender who actually did the loan.

 

[Mountain Man]

We used to do a lot of them like that for quality control checks. But that was when banks really did lend out of their vault and cared.

Other that than... pre-foreclosure? If they are 3 months into it and are already skipping payments, they lender will want to know why.

 

[CANative]

I'd say they're going to stick it in the package for a block of mortgages to sell to someone. Or maybe they want to see if the appraisal is going to cause a problem before putting into Investor A's package and perhaps it needs to go to Investor B.

 

[Jeff Squire]

Used to do post funding reviews for WAMU. They were for internal auditing purposes. Some of them were real winners. I remember one that was valued at over 350K by an appraiser from Virginia ( property was Baltimore City ). My number came in at around 150K. I bet some heads rolled after that one.

 

[Fred]

I'd say they're going to stick it in the package for a block of mortgages to sell to someone. Or maybe they want to see if the appraisal is going to cause a problem before putting into Investor A's package and perhaps it needs to go to Investor B.

Right, some mortgages underwrite junk bonds and some underwrite non-junk bonds.