Question:
When people say that they have evictions and stuff from maybe apartment complexes, how does that affect them purchasing a home?
BOB: So we’re going to have to know when it was and we have to know, is it reporting on the credit report? There’s a $2,000 collection on there from an apartment complex and it’s in the last few years. Well, we’re going to have to figure that out. What happened? Because we’re about to loan you $300,000 or $200,000 on a new home and you’re supposed to be paying that mortgage, but you didn’t pay the apartment complex. Why? And so, it’s building a story around that.
Question
When you say building a story, are you meaning writing a letter to the underwriter?
BOB: Yeah. Yeah. So building, I call it a story loan. So what happened, what they did to fix it and why it’s not going to happen again? What happened? Life happens. Something happened to cause that exit and that collection. Okay. What did you do to fix it? Did you get a new rent? Did you get a new lease? Did you get a roommate? Did you get married? What happened that changed where you are today and then why will it not happen again?
That’s what we really do for all credit scenarios. Bankruptcies. Okay. That’s cool. Happens. Life happens. What did we do and why is it not going to happen again?
Yeah. Yeah. So building, I call it a story loan. So what happened, what they did to fix it and why it’s not going to happen again? What happened? Life happens. Something happened to cause that exit and that collection. Okay. What did you do to fix it? Did you get a new rent? Did you get a new lease? Did you get a roommate? Did you get married? What happened that changed where you are today and then why will it not happen again?
That’s what we really do for all credit scenarios. Bankruptcies. Okay. That’s cool. Happens. Life happens. What did we do and why is it not going to happen again?