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.
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.