Most Popular Lending Content
New HELOC for the Purchase
09/17/2023
Can you do a HELOC on a home a customer is buying? The first draw will be to complete the purchase. The house has a purchase price of $90,000 and they need to borrow $30,000. They don't want all the expenses and hassle a regular mortgage entails. They want to just take out a HELOC on that new home. A HELOC is not TRID so we would not need all the documention either.
Who signs for a lon to an LLC?
09/17/2023
We had an auditor tell us that we needed to get the signers of an LLC to initial the "Joint Application for Credit" where the LLC is the only borrower. We disagree with that. There should not be a Joint Application for Credit for this loan. Has anyone else had this problem? What's the best way to handle the auditor and the loan?
Review-related tasks in commercial loan exception tracking
09/17/2023
What review-related tasks are common to commercial lending exception management?
Land loans
09/17/2023
A loan was originated to purchase a subdivision lot. The borrower plans to apply for a construction loan in the next two years in order to build a new home. Does this plan for a construction loan make this lot loan reportable for HMDA?
Assumption reporting
09/17/2023
We are considering originating assumption loans. Our interpretation is that assumptions are indeed HMDA reportable. However, we cannot locate any specific identifiers within the HMDA reporting database that specifically classifies the transaction as an assumption. Can you provide further guidance? These would be on transactions where indeed there is a new borrower versus those where they are removing an individual due to death, divorce, separation, etc.
