Why is my lender asking to see our HOA dues on our sewcond home?
Is that considered as proof of the second home? or is that considered as monthly cost? Why do they need that ? just curious by JamesJamil from Irvine, California. Jun 9th 2011
Joel Lobb (kentuckyloan)
#3 ranked lender in Kentucky - 192 contributions
James,They want to know how much so as to determine your debt to income ratio. Also, sometimes they want to make sure the HOA is legal and taking care of bills for the condo development.
Gianni Cerretani (mortgagegodfather)
#32 ranked lender in Georgia - 238 contributions
Good question: the reseason they need this information is purely for debt to income calculations. Any home that you own that has HOA fees will be calculated in your debt to income ratio as a part of your housing expesnses. No other reason!
Bill Ladewig (bill@yourfhaguru.com)
#362 ranked lender in California - 34 contributions
James,Your lender requires verification of your HOA dues to check your qualification for the loan based on your total housing expense as a percentage of your gross monthly income.Bill Ladewig
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