Ask for it in writing. “Say it, forget it …. write it, regret it.”Unless you hear that directly from the mortgage underwriter, don't believe it. Even them, I wouldn't believe it's the underwriter. I'd have to hear it from three different underwriters to even think it's above board. Aka I'm 99% certain it's the broker trying to save the deal.Thanks for everyone's responses so far. I guess the questions all boil down to this: If it satisfies the bank to funnel the $$ through us, and if the Parents still file a 709 (if gifting) or report imputed interest on their taxes (if loaning) essentially acknowledging that this is a step transaction, then what is the illegality? Are we being baited into some sort of fraud by the mortgage officer (who, as noted, is a SVP at Guaranteed Rate)?
My wife and I have been around banking (not mortgage lending) for a combined 70 years or so. There is no way an officer of the bank would put it in writing, but I could be wrong.
Statistics: Posted by TomatoTomahto — Tue Apr 16, 2024 5:17 am — Replies 29 — Views 1332