This report shows any liens and encumbrances currently registered against the subject property. The appraisal part of the loan process plays a major role with the lender. Depending on the value property in relation to the size of the loan, different guidelines apply. It is important for the loan officer to understand these rules and anticipate any changes as a result of the final value. An appraisal is necessary in most circumstances.
Much verification is necessary for the loan process.
Oftentimes the information on the verifications differ from what is on the loan application. When this occurs explanations may be necessary for the verification to be corrected. The underwriting process is an in-depth analysis of the loan package in relation to the required guidelines of the investor. The information is interpreted as it applies to the secondary market for salability. A person's credit history plays a major role in the approval process.