We have seen some off-the-wall underwriting conditions lately. Here is the latest dandy from an underwriter in California:

"Appraiser to provide narrative to explain why the grass of the subject property is brown."

Uh...how about it's winter and the property is in Nebraska, every blade of grass in the entire state is brown.

Oh man...this is going to be good!  I have to go back through some of my commitment letters and suspense emails for some of the choicest conditions.  I will be back to this thread!

I have to wonder if that underwriter had my files if they would give me a stip similar to this:

Appraiser to provide narrative to explain why the grass of the subject property is covered by a white substance."

Hint: I am in MN.

I haven't had any funny ones but the most ridiculous one I have had this week was for a field review on a 34% LTV loan even though the appraisal was done thru an AMC and the appraiser was not on the appraisers denied list.

Kent Mikkola:

I have to wonder if that underwriter had my files if they would give me a stip similar to this:

 

Appraiser to provide narrative to explain why the grass of the subject property is covered by a white substance."

Hint: I am in MN.

Kent it might not be that cut and dry, if you were in Miami the white substance could have been caused when an explosion erupted in a coke dealers house and the result was a fall out of a white powder over the lawn.

Mark Ganovsky:

Kent it might not be that cut and dry, if you were in Miami the white substance could have been caused when an explosion erupted in a coke dealers house and the result was a fall out of a white powder over the lawn.

In Miami that would add value to the home though...

I've had some stupid conditions, can't remember specifics, but while we're talking about drugs...this house always sticks out in my mind in that the banks have no idea what they own:

http://www.sacbee.com/static/weblogs/real_estate/Aspen_before.pdf

in case that doesn't work: (click before link)

http://www.sacbee.com/static/weblogs/real_estate/archives/012713.html

akaagassi:

I've had some stupid conditions, can't remember specifics, but while we're talking about drugs...this house always sticks out in my mind in that the banks have no idea what they own:

 

http://www.sacbee.com/static/weblogs/real_estate/Aspen_before.pdf

in case that doesn't work: (click before link)

http://www.sacbee.com/static/weblogs/real_estate/archives/012713.html

It's amazint he things people do with foreclosed homes. Or do you think all those medicinal plants were there from the start?

Mike King:

It's amazint he things people do with foreclosed homes. Or do you think all those medicinal plants were there from the start?

Why were they growing tomatoes inside?

I've recently been asked:

• to provide employment history, income and debts on a VA streamline.
• to provide an appraisal on a VA streamline (different loan than above).
• Provide explanation why borrower withdrew $20k from 401k in to checking and then also source the $20k in checking account.
• Provide source of $20k funds to close (Same file as listed above).
• Provide insurance coverage for appraised value of property (appraisal $450k, loan was $240k).
• Provide job description, address, phone and years employed for spouse (was listed as Homemaker).

That's what I can come up with off the top of my head. I'm sure there are others and will be many more as lenders and banks continue to hirer college students with no experience to underwrite loans.

Clem Borkowski:

Provide explanation why borrower withdrew $20k from 401k in to checking and then also source the $20k in checking account.

That is just priceless.

I had a client take 2006 off to lose weight for health reasons. He makes about 500K a year and had a nice savings account. She conditioned a statement from him, which was ok. Then she conditioned before and after pics!

Dare we say which lenders issued these stips?

micah powell:

I had a client take 2006 off to lose weight for health reasons. He makes about 500K a year and had a nice savings account. She conditioned a statement from him, which was ok. Then she conditioned before and after pics!

micah powell:

I had a client take 2006 off to lose weight for health reasons. He makes about 500K a year and had a nice savings account. She conditioned a statement from him, which was ok. Then she conditioned before and after pics!

Has this underwriter ever heard of photoshop?

I just had Provident deny an 800-plus FICO picture-perfect conforming loan last month because of the added stip that a condo's insurance company was "insufficient" in covering employee theft for ITSELF... Not for the condo, for the insurance company!

The agency, all one-person of it, refused to raise the coverage on the grounds that she surely couldn't steal from herself and felt it was ridiculous.

Dead deal and a client who now can't get last month's rate anywhere.