Documenting Home Sale Proceeds

Home Forums Purchase Program Documenting Home Sale Proceeds

Viewing 3 posts - 1 through 3 (of 3 total)
  • Author
    Posts
  • #63165

    I am frustrated that our MC and office manager haven’t responded to this urgent question, so I am hoping someone here knows the answer already. We sold our home and settlement was yesterday; proceeds deposited today. When we went to ATD, the UW there said once we did, we could use the proceeds to pay off our loan balances. Is there anything we need to do to document this besides providing the next statements as normal? We of course want to do this ASAP since we’re qualifying now, and it costs us money not to pay them off. I was under the impression we should just do it immediately, but I do not want to risk anything at this point now that we’re finally here.

    #63168
    Nelsont
    Member

    You would need to document where the money come from where it’s going to and then of course have the transfer of title and all the sale paperwork. While you will almost assuredly be asked about this multiple times paying off your debt is never a bad thing.

    #63182
    TTrumble
    Member

    Hello BakerTheBaker,

    This is no different than any other one-time deposit as far as the money is concerned. Highlight it on the banks statement and write an LOE.

    Same thing with the account payoffs. Think of them all as just several one-time withdrawals and act accordingly.

    As Nelsont noted, provide enough documentation to show that the closing has taken place on the previous property and that you in fact no longer own it.

    In short, be thorough, but don’t overcomplicate it. You’ll be fine.

    Tim Trumble
    Online Operations, NACA
    ttrumble@naca.com

Viewing 3 posts - 1 through 3 (of 3 total)
  • You must be logged in to reply to this topic.
Follow us on Facebook RSS Feed Follow us on Twitter