Whacked out Wednesday – DU 10.3 updates risk!

#WhackedOutWednesday – A favorite for many where I go over what to avoid in the mortgage industry and give tips and tricks to help you not be whacked out! 🙂  I’ve been going over the DU 10.3 changes all week, and today I sum it all up by going over what you need to know DU is doing.  Evaluating risk! And every time DU is updated the “Desktop Underwriter” gets more intelligent in doing so.

So what to look out for?  Well complete your 1003 completely and make sure your placing comp factors in the 1003 when you have a higher DTI.  Don’t just skip assets because you don’t need them to close.  DU’s newest highlight, on a cash-out transaction where the DTI is greater than 45 you will need 6 months of reserve going forward.  I can only imagine that other loan case files and risks when DTI is greater than 43 even are being more scrutinized as time goes by.   My advice, watch your C of C’s right now, as something could change the case file id like a new credit report and be 10.3 updated and completely change the output on that loan finding.

If you need help closing a file that looks to be a viable one, but DU or LP just do not like it – CLICK HERE!  We have agency fall out options that can help in these situations.  Think of it as having a manually underwritten conventional option to close a loan.  We have seasonings for BK/Foreclosure and Short Sales that just need to be settled.  Plus a line up of other programs that may help you into 2019! #BankStatementLoans #Reverse #InvestorNIVA #JUMBOLoans

Lets do business! As Always –


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