Reasons we don’t fund a loan request in no particular order

1. 1. The borrower needs or wants a loan amount larger than we feel is prudent for us to lend

2. 2. The borrower has lied to us. This is anything from falsified financial statements, bogus leases, to hidden bankruptcies and felony convictions.

3. 3. The property has an environmental issue. Environmental analysis has gotten “deeper” in the last 10 years, and the definition of recognized environmental conditions has expanded as well. So just because an investor was able to obtain a loan on a property years ago doesn’t mean he will be able to today, at least until the environmental concern is dealt with.

4. 4. The borrower DOESN’T actually own the property. Amazingly this occurs more than you’d think. Relative actually owns the property; ex wife has an interest; borrower has an option not ownership and the title holder won’t sell; property was previously deeded to someone else for asset protection, and a hundred other situations

5. 5. We are unable to obtain sufficient documentation or information from mortgage broker/borrower. This may be the number one reason - amazing how many borrowers think that they're going to receive a 90% LTV loan at5% interest and provide absolutely no information other than the property address. Go figure.