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It is quite literally the lender’s business, as their decision to lend to you is absolutely contingent upon their confidence that the money came from a legitima
by stouset 5y ago
It is quite literally the lender’s business, as their decision to lend to you is absolutely contingent upon their confidence that the money came from a legitimate, stable source.
- cryptohousethwy 5y agoNot to nitpick, but the "stable" part isn't necessarily true. If the money is just being used for a down payment, and not being cited as recurring income, they wouldn't care whether it's stable. Side note: I still can't make sense of why lenders care about the money's source being legitimate but the title company doesn't, per my experience: https://news.ycombinator.com/item?id=28163885 https://news.ycombinator.com/item?id=28163885
- stouset 5y agoWell, I was conflating two things for simplicity’s sake. They care that the down payment came from legitimate savings with a documented history, to ensure it’s not from another loan they’re not aware of. And they care that your reported income is stable (you’re reliably employed with a reasonably predictable income stream) so they can reasonably expect you’ll continue to be able to make monthly payments.