YOUR LENDER LETTER(s)

As a buyer, the purpose of your “lender letter” is to fulfill the requirements of the contract and to give the Seller and the Seller’s agent assurance that you will appear at closing with mortgage money on the specified day. The perceived “quality” of your lender and the letter will have an impact upon your acceptability as a buyer.

In our area, the ideal lender letter will refer to your name(s), the property address, and will say that…
1-You are approved for the financing specified in the Contract
2-A ratified Contract has been received
3-Your written application for financing has been received
4-Your income, asset, and liability documentation has been received
5-Your credit report(s) have been obtained and reviewed
6-Your application has been reviewed and meets underwriter and investor guidelines

The letter above will satisfy Paragraph 10.C Option 1 conditions of the standard “REGIONAL SALES CONTRACT.” The same letter without Item 2 (see above) should be available from your lender and will accompany your offer when it is submitted.

It is your responsibility to ensure that your lender is aware of the important financing and appraisal deadlines provided in your Contract. Your lender’s performance became crucial with the new contract form (September 2006) which exposes you to automatic loss of your earnest money deposit if settlement does not occur on the agreed Settlement Date for any reason other than Default by the Seller(s).