Tax Returns and Revised Tax Transcript Policy

All Tax Returns are due to be filed no later than October 15, 2020

Any loan where Tax returns are required for qualifying purposes must be cleared for docs no later than October 8th and funded no later than October 15th or evidence of filing will be required. Evidence of filing includes: Tax Transcripts (our vendor or direct to borrower from IRS, IRS stamped tax returns or proof of e-filing.

Effective October 15th, Tax Transcripts will be required on all loans where Tax Returns are required for qualification purposes. These will be validated at time of CTC. These may come from our vendor or from the borrower through the online IRS portal.

For Prime and Government Loans Only:

In the event we are unable to obtain tax transcripts prior to CTC, the loan must go to Underwriting Management for review. In the case of the refi, management will typically be looking for the transcripts prior to close. In the case of a purchase with a COE, management will be looking for items such as proof of e-filing with either proof of payment due or statement showing refund and proof of when transcripts were ordered. If management makes the decision to fund pending the transcripts, LoanStream will hold the brokers’ check until said transcripts are received. In the case of a borrower paid transaction, management may require the transcripts prior to close, this will be a case by case basis.

For all NanQ & Prime Jumbo Loans:

Transcripts are required prior to closing, no exceptions. These may come from our vendor or from the borrower through the online IRS portal.

Underwriting will no longer condition for any alternative documentation.

Please contact your Account Executive for any additional questions.