My friend Eric Zanotelli over at Fairway Mortgage shared a great article from the Wall Street Journal titled Banks Face Fight Over Mortgage-Loan Buybacks. Eric (and I agree!) that there is wisdom in forwarding the article along with an explanation to Realtors and other referral partners so they understand the reality of this new world we find ourselves in. Very few people comprehend the risk we have as originators as we work to comply with new guidelines and procedures.
This will help you explain to both Realtors and borrowers why we may need that one extra piece of documentation. There really is no way around it as underwriters are unwilling to sign off and put their name on the line. Originators, likewise should be unwilling to risk doing a loan that isn't in complete compliance.
Yes, you have to ask for a truckload of information for each loan. And then once the processor and underwriter look at it, there is often more that you must request. The easiest way to handle this is to explain, even BEFORE application, the new rules of mortgage finance. Ask for their patience and understanding, especially if you have to come back to them and ask for additional information. This will hopefully give your clients a bit more understanding and patience. Hopefully.