What is a mortgage 1008 form?
The Uniform Underwriting and Transmittal Summary Form 1008 summarizes key data from the loan application package. Lenders use this information in reaching the underwriting decision. Form 1008 (or a similar document) must be retained in the mortgage file for manually underwritten mortgage loans.
What is a 1003 form in mortgage?
The 1003 loan application, or Uniform Residential Loan Application, is the standardized form used by most mortgage lenders in the U.S. It is required by the Federal National Mortgage Association (Fannie Mae) and the Federal Home Loan Mortgage Corp. (Freddie Mac) for mortgages that they purchase from lenders.
What is 10o8 form?
Challenge. Form 1008 by Fannie Mae, also known as the Uniform Underwriting and Transmittal Summary, is often used by lenders to analyze the key summary data of an application, and make underwriting decisions based on that.
What is an Aus approval?
The automated underwriting system is the use and utilization of computers to underwrite mortgage loans. The automated underwriting system approval, also known as AUS, has made mortgage approvals automated. The AUS is faster and can grant mortgage approvals in a matter of minutes.
What does AUS mean in mortgage terms?
automated underwriting systems
Both DU and LP are types of automated underwriting systems (AUS). Loan originators use DU and LP to determine whether a loan meets Fannie Mae or Freddie Mac’s eligibility requirements which means DU or LP approval is a critical step towards closing on a mortgage.
What is debt to housing gap ratio?
The gap ratio is the difference between your monthly debt-payment-to-income ratio and your monthly housing-expense-to-income ratio. Freddie Mac’s new standard suggests that the “gap” between those two debt ratios generally should not exceed 15 percentage points.
Is automated underwriting better than manual?
Lenders use automated underwriting because it’s much faster and more cost-efficient than manual underwriting.
Is Du Fannie or Freddie?
So remember, Desktop Underwriter (DU) is Fannie Mae’s automated underwriting system, and Loan Prospector is Freddie Mac’s.