Hoping someone can clarify for me ... here is the situation:
We had a customer interested in purchasing a multi-family dwelling. The customer indicated that he would form an LLC to hold title to the property - our Borrower would have been the newly formed LLC and the guarantor would have been the customer. Since the loan didn’t close – it was declined – is GMI required for the customer (who would have been the guarantor) or the LLC to be formed? We don’t have a formal application on file, just several e-mails between the lender and the customer where it was specifically noted that the new LLC would be the borrower. If the loan had booked, we would have completed the GMI based on the LLC. The letter of adverse action was mailed to the customer (guarantor).