More lenders are scrutinizing mortgage applications since the financial crisis fallout, which has triggered fears of borrowers who will default or walk-away from their mortgage or mortgage fraud.
Here are the triggers that may cause the most lender scrutiny of loan applications, according to a recent article at The New York Times:
Large deposits of money - Lenders are required by federal regulators to confirm that funds in an account come from bona fide sources, like a gift from your grandmother for the down payment. What constitutes a large deposit? If you earn $5,000 a month and deposit an extra $10,000 beyond your paycheck, that may be considered oversized. Of course, if you were just married and received a bounty of checks as gifts, you might want have your marriage license on hand as proof, when you are providing your bank account information.
The home’s new address - Buyers who are purchasing a primary home three hours from where they work may also draw increased scrutiny from lenders, according to The New York Times article. Borrowers may even need a letter from their employer stating that they work from home a few times a week. Likewise, a couple with three children who are buying a one-bedroom apartment may be scrutinized about whether this will be their principal home. That’s because lenders may want to ensure the borrower plans to be an owner-occupant and not buying the property to rent or flip, which must be disclosed.
New or Undisclosed debts - Borrowers should avoid taking on extra debt when applying for a loan — so they may want to wait to buy all the new furniture. Extra debt can be a red flag to a lender when financing a home. It could even jeopardize closing on a new home if the debt pushes the borrower’s total debt levels beyond lender-accepted limits.
Income Issues - If you disclose that you earn twice what the average person in your occupation earns, you may need to document that discrepancy. Or if you used to be an independent contractor and were recently hired as a full-time worker, that might raise concerns. It is relatively easy to invent false documents that inflate incomes, so lenders routinely check with the Internal Revenue Service and other sources.
Source: “Mortgages: Triggers of Lender Scrutiny,” The New York Times (Nov. 3, 2011)
Heavenly Valley, South Lake Tahoe - Announcing a price reduction on 3779 Overlook Court, a 4,243 sq. ft., 5 bath, 5 bdrm 3 story "With Elevator". Now $1,499,000 - INCREDIBLE PRICE!. THIS AWESOME CUSTOM HOME HAS JUST BEEN REDUCED TO $1,499,000. A SUCESSFUL VACATION RENTAL WITH AN UNBEATABLE LOCATION!
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Montgomery Estates, South Lake Tahoe
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Announcing a price reduction
on 1756 Gentian Circle, a 3,111 sq. ft., 4 bath, 5 bdrm 2 story "Contemporary". Now
MLS®
$1,150,000
- Top nieghborhood!.
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Seconds to Heavenly Ski Resort
• 1,680 sq. ft., 2 bath, 4 bdrm 2 story "Upstairs Living"
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ARCHIVED
$699,000
- Fantastic Rental
Heavenly Valley, South Lake Tahoe
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Tahoe vacation rental so close to Heavenly Ski Resort. Comes fully furnished and decorated-turn key ready to go! 4 bedrooms, 2 baths, open living room very comfortably fits the whole family-a wonderful place to kick back and relax and enjoy Lake Tahoe. Garage and carport and off the street parking. Under 5 minutes to Heavenly and the clubs, close to Ski Run Beach, in other words easy access to all of Lake Tahoe's favorite areas to play. Purchase now and be ready for the busy winter season.
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Impeccable Mountain Style Contemporary
• 2,286 sq. ft., 2 bath, 3 bdrm 2 story "Upstairs Living"
-
MLS®
$667,500
- Gorgeous Home
Gardner Mountain, South Lake Tahoe
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Absolutely gorgeous and better than new contemporary mountain home.Upstairs living accented by wood floors, vaulted custom beam ceilings, beautiful stone tile and granite counters, custom redwood slab dining bar, granite boulder gas fireplace. This home was impeccably finished and maintained. Oversized parcel 50 x 200 with a completely fenced backyard. This home could be a fantastic vacation retreat or a beautiful full time home. 3 bedrooms, 2.5 bathrooms, family room, 2 car garage plus more. Beautiful furnishings are negotiable.
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Fully Furnished
• 1,161 sq. ft., 2 bath, 3 bdrm single story "Townhome Condo"
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MLS®
$279,000
- Great Price!
Bijou, South Lake Tahoe
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Lowest price at $298K and fully furnished condo in Bavarian Village! 3 bedrooms, 2 baths, pool, spa and on-site management. Super clean and ready for move-in immediately.
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1.5 miles from Heavenly Resort!
• 3,050 sq. ft., 3 bath, 3 bdrm 2 story split "Contemporary"
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MLS®
$840,000
- Great Bang for your Buck!
Bijou, South Lake Tahoe
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Tons of curb appeal on this 3,000 sf home with amazing roof lines, 4 decks, 3-Car garage & across from acres of conservancy. Only 1.5 miles from Heavenly Ski Resort. Doug Fir millworks compliment rich cherry cabinetry & endless hardwood floors. Gourmet kitchen with walk-in pantry, slab granite & stainless appliances. 2 gas fireplaces with stone accents & built-in entertainment cabinets. Master Bath has 2 vanities, stall shower w/ double heads, jetted tub, marble counters & travertine floors and accents. Large family room, full security throughout, landscaping with BMP cert complete & an 8-man Hot Springs tub. Office could be 4th bedroom, nursery, or sitting area off of the Master Suite. Hunter Douglas wood blinds on every window & slider. Multiple skylights adorn the ceilings for natural light. Furnishings are negotiable.
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• 1,664 sq. ft., 2 bath, 3 bdrm 2 story "Large bedrooms upstairs"
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MLS®
$390,000
- Highland Woods chalet
El Dorado County, California
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This Highland Woods, centrally located in-town area. Has much to offer as an Vacation
Home or first time home buyer in Tahoe. With 1664 Sq/ ft of living space and a 2-car garage this could also be a vacation rental/ giving you income to use at your leisure.
Nice wood burning stove insert, for those cool nights here in Tahoe.
The corner lot gives this a nice feeling of privacy, as well.
3rd bedroom could be a game room, it did have a pool table in it at one time.
Houses across the street are up into the $700K+ on the Meadow. Bike trail is steps away, and gorgeous setting of Meadow to Lake Tahoe.
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Fully Furnished
• 1,161 sq. ft., 2 bath, 3 bdrm single story "Townhome Condo"
-
MLS®
$298,500
- Great Price!
Bijou, South Lake Tahoe
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Lowest price at $298K and fully furnished condo in Bavarian Village! 3 bedrooms, 2 baths, pool, spa and on-site management. Super clean and ready for move-in immediately.
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Great Price!
• 1,997 sq. ft., 3 bath, 3 bdrm 2 story
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MLS®
#109785
$699,000
- Brand New Gorgeous Home
Pioneer Trail, South Lake Tahoe
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Impeccably finished new construction in a quiet Tahoe Paradise neighborhood. Accented with logs railings. Kitchen completed with granite counters, knotty pine cabinets and trim, stainless steel appliances. Soaring river rock fireplace takes advantage of the vaulted ceilings. Construction design allowed for 9 foot ceilings downstairs, and a large roomy garage.Lot to the left is National Forest and it is an easy walk to miles of Forest Trails.
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