Mortgage News and Notes

October Mortgage Solutions for Separating and Divorcing Couples - Or, Underwriting as Comedy

October 16th, 2019 12:43 PM by Steven Hofberg

As many of you who work with me have learned, underwriting a mortgage is an art, not an exact science. Our job is to set the client up for success by making their separation agreement fit into underwriting guidelines.


This month I ran into a somewhat amusing underwriting problem on a Maryland loan. The underwriter told me that since there was an unsigned notary page attached to the agreement, the separation agreement needed to be notarized to be legal. I patiently explained to her that separation agreements in Maryland do not have to be notarized to be legal and binding. She then told me that she went on the internet and found something that said that Maryland separation agreements had to be notarized. When I asked her for the site she just said that she “Googled” it. After further discussion, she finally agreed that Google is not necessarily a reliable source for that information and backed down.  


So, the moral of the story is that if your clients are not planning on getting their signatures notarized, leave out the notary page! It will lead to fewer questions and concerns from underwriters. And don’t believe everything you read on the internet.


Have a great week!


Margie Hofberg, President

Residential Mortgage Center Inc

Posted by Steven Hofberg on October 16th, 2019 12:43 PM


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