Can lender ask for documents on an asset that had nothing to do with funds verified/used for close? 6 wks after close and funding?

Thank you, Gentlemen. Due to number of character constraints in the initial question text box I was unable to provide details of the asset in question.The asset I referred to is my former home. It has been under contract... and will likely be under contract for a while yet due to a severe back up of appraisal appts. in Oregon.Yesterday I learned they are at least 7 weeks behind. As of today, no word on scheduled appraisal by the buyers' lender.No money came from the house for closing costs because the house has not sold. All funds for close were from mutual funds I cashed out. All appropriate documentation of the money trail was provided, three times.My question to my lender continues to be "how can I show you that funds for close came from the sale of my former house if that house has not yet sold?" I have not received an explanation. Simply, "the investor needs it."It is my non-expertise assumption that to provide a "property tax statement, and proof of homeowner's insurance" as evidence where my close funds came from... for a property that has produced no money... is an act of fraud. Especially since the close money did not come from the asset in question. Further, why the inconsistency? If I received money from the property for close funds, why did the lender not also ask for appropriate bank statements -- as they did with the deposits from my mutual funds to my bank account? This question continues to be stonewalled by the lender.Other than listing the property on the loan disclosure form, I was told I qualified for the loan in spite of that liability in my debt ratio. I see as I sort through uploads of documents to the lender that I have in fact previously provided them with proof of insurance and property tax information for my former home.I'm a 100%, permanently disabled veteran. I was granted a VA loan for my new home's purchase. The seller had a USDA loan on the house. I was told by all parties involved that due to the USDA and the VA there were far more stringent requirements for verification of all matters prior to close.Which is what fuels my current agitation with the demand for documentation on my old home. I freely acknowledge signing the compliance agreement to help the lender correct any mistakes. Yet I have not received explanation or admittance of any mistakes. Simply -- this is what the investor needs.I'd at least appreciate the honest admittance that someone goofed during the application stage and/or underwriting stage. Even my loan officer is mystified and says so in print. Both the realtor for my old property, and the realtor for my new property ask -- how could you have purchased the new home if they required your closing cost money to come from the sale of the former home?There you have it. Another tale of woe from a homeowner after close on mortgage.Thank you in advance for any further insight.Cathleen Shea

I swear there were paragraphs in the post when I crafted it. Doggone it!At any rate. Also checked in with the VA Regional Loan Center in Denver. They said there's no way to provide a document of something that doesn't exist yet, or has not happened yet. To do so would be to at the very least assist in the commission of a fraud.The house hasn't sold. Period. If the underwriter assumed that was where the money came from, and it didn't... nothing I can do to correct THEIR mistake. I submitted all requested documents to show where the close money came from.I could send them a copy of the sale contract on the house. That's the best I could do to... assist them in fixing THEIR mistake.

Thank you, Everyone. Apparently Amerisave Mortgagage Corp. has a bad habit of not returning calls or emails put to supervisors, managers, etc. This as evidenced by my phone messages and emails to the "loan purchase team leader" going unanswered. I know she is in because the secretaries have verified her presence. However, I always get dumped into voice mail. No live humans.The only person continuing to respond, via email only, is the dubious Ms. Taylor. And that only until 3 pm (EDT) each day.Seems to me asking a title officer to supply a number on a HUD form that has not be validated via appraisal would be something they'd refuse. I'll call them, but if it were me, no way would I put my license out there for such a speculative number in this volatile market. Especially since there is still negotiation going on for who will pay for the approx. $15000 needed new roof. Which would obviously impact the earnings from the future home sale.The VA Regional Loan Office was very clear. I cannot provide the lender with documents and number values that do not yet exist. Would that I had found any of your all's contact information before I waded into this mess. :)

Wise counsel, Lorne. Funny thing is, the normally competent face to face guy I'd used for a remodeling refinance loan, suddenly couldn't figure out how to work a VA loan request and after six weeks of fiddling around... he told me the VA said I was ineligible for VA loans. Wow! Two other local lenders, one of whom said they would not loan money below 70K... my new home only required borrowing 66K, and the other who decided my debt ratio, that the VA had already verified was ok for a VA loan, was too high and "no other lender would touch me, either." Double wow!Which trigged my severe PTSD symptoms so badly that I didn't want to try getting kicked in the teeth by anyone else here in the Northwest. My issue, I know. But that's how I landed in this mess.Next time I decide to move to yet another "dream house" :) ...I'll come hunt down one of you guys to get the loan done right! :)

Hi Joe, thank you for responding to my question. // The thing that mortgage company is asking me to do is to say "the close money came specifically from the sale of my former home." Which, to date, is under contract, but no sign yet of a definite close due to appraisal backups. // Funny thing is... they asked for and received several rounds of documents to show my close funds actually came from cashing out my own mutual funds. // I sat down and finally got my head clear enough to read through word for word every single page of my closing package. Has any other human, including the blinkers in UW and post-close ever done so??? I wonder. // The Universal Residential Loan Application, in section 2, has a block that says... Source of Down Payment, Settlement Charges, and/or Financing (explain). The company wrote in "checking savings, stocks and bonds, equity on pending sale." Well, can we apply the "and/or" statement to one of those three items in the set? Or, now I wonder... does it only apply to the items in the instruction list itself. Sheessshhhh. No wonder lawyers get paid so much. // Regardless, these folks also wrote the cut off amount I was to receive in proceeds on my house sale. How could they possibly know what the outcome of contract negotiations would be? I can tell them flat out, due to needing to buy a new roof for the nice buyers... I won't be getting a minimum of 42K. // Head spinning yet for all the inconsistencies put in place by the lender? How can I fix any of that for them? Like the VA Loan Center gentleman said... any attempt by you to represent that your close money came from anywhere other than the source it did... after the fact... is to commit fraud in the eyes of the VA. // Come and get me Amerisave. I'll be the disgruntled disabled veteran with a long line of supporters standing behind me waiting to help you all figure out how to do your job right, the last time!

Hi Joe. If we ever move to Minnesota. I'm calling you to handle our loan. :) I didn't even have to cash out my entire mutual fund account to get the necessary funds for the close. And no more money was needed from any other source. The paper trail for the money was paved with multiple copies of various statements. // The comedy of all of this, to me, is that the loan amount was only $66K. Of course the lender must fear for the solidness of the loan in 20 to 30 years. If my former home wasn't under contract right now, I'd understand. Or not. If they think I'm going to be paying them interest in even 15 years... bummer. // I learned what might explain how Amerisave was able to get an appraisal scheduled so quickly for this new home, while I'm waiting forever on the buyers' lender and an appraisal for my old home. Seems Amerisave got in trouble last year with the CFPB for providing their own appraisers via a sister company, and other assorted ethics issues. Oops! I'd guess the 20 million in fines didn't cure them of such practices. // I should be happy it got me into the home I wanted in such short order... but I'll remember this lesson forever regarding their lack of ethics and attempt to put the burden on me for a mistake I could NEVER have caused. // Happy lending! :)

It's funny how quickly a phantom supervisor will call when one CC's the company president on an email. // She still felt there was no need for me to have a copy of the key closing documents that had been changed by the UWs. // Me... why do I not need copies of the changed documents? // Her... Well, because it was all internal changes. // Me... These are closing documents that changed. We entered into a legal contract. You changed the contract. My lawyer seems to think it's smart for me to have the corrected documents for my records. // Her... You said you wanted to those sent via US Mail? // Thank you all for your thoughts and support. Wish I'd dug deeper than the surface review I settled for in choosing Amerisave Mortgage Corporation. Next time I'll come here to Lender411 before making any lender decisions.