FHA Mortgage Guide

Should your FHA loan be delayed?

Blogger and loan officer Jeff Belonger at The FHA Expert.com makes an interesting point, the idea that loans should actually close on time and with promised terms and conditions.

He explains in fundamental terms how loan processing works — and why it is that surprises at settlement are rarely justified.

Given the number of failing lenders, I think Belonger is on the right track. That said, we have a growing number of situations where loan officers in good faith arrange financing and then events happen which are beyond the loan officer’s control — such as when a lender goes belly up.

Given that FHA loans are insured by the government and require careful underwriting, there should be no surprises. But problems do arise, not because of the FHA program but because in recent months lenders have been failing left and right.

More then ever, Belonger is right: Borrowers and loan officers need to communicate — and to check the financial section of the daily paper.

Check out these FHA resources for more information

This entry was posted on Friday, August 10th, 2007 at 3:06 am and is filed under FHA. You can follow any responses to this entry through the RSS 2.0 feed. You can leave a response, or trackback from your own site.