underwriter error?

ermaderma

So apparently the underwriters cleared us to close due to an error. We closed Jan 10 and this issue is just now coming up. Because we claimed unreimbursed expenses on our taxes last year, we should not have been approved for the amount that we did. They only caught this error when they went to sell our mortgage and our 2011 tax returns weren't in our file. I provided them twice but they never uploaded them. Has anyone had this happen or know of what potentially could happen?Thanks

MommyLiberty5013

I haven't heard of this happening before...but as with anything, human error is always a possibility.

Due to the legally binding nature of home loans, I think the bank will have to eat their mistake. However, you should pour over your loan documents with a fine-toothed comb and perhaps consult a real estate attorney to verify your rights here.

Also see if your REA or one's s/he works alongside has/have seen this before.

If you provided 2011 returns twice and can prove this and they failed to process them on their end correctly, this isn't your fault. How could you have known?

ermaderma

Thanks.The loan processor basically told me that worst case scenario, they just cant sell our mortgage but I want to make sure. I will contact our attorney to see what she says.

TX-Bride

I am just fed up with our lender and underwriter!! I believe they are all unorganized and shortsighted. They sit on information and don't follow a step by step process, they get back with me on issues that I had submitted paperwork 4 weeks ago, I have to resend the same document over and over. Just because alll loan industry screwed up the economy a few years ago now they have a reason to be a**holes!!!

GeorgiaRiah

After I closed they realized they forgot to file the final extension on closing so they couldn't sell my loan.  We just signed the paperwork after the fact but I was told that it would have just prevented them from selling the mortgage.

islandmonkey8

We found out a month after we closed that our loan was uninsurable. In order for our loan company to fix it they are paying to refinance our mortgage. PITA but at least our mortgage will be insured in the end.