If you ask many loan officers, although dealing with first time homebuyers is challenging, it is easier to set the right expectations on the mortgage process as they have not been through it before. Today’s first-time homebuyer never experienced the easy mortgage process prevalent in the late 1990’s to 2007.
The most difficult group to set expectations with are move up buyers or refinance customers. Most of them bought homes during the 1990’s to 2007 and in many cases did not have to provide anything in terms of documentation. At the most they provided paystubs and bank statements and usually just the first page of their bank statement. They did not have to write explanations for recent inquiries or address old credit issues. As for the requirement for all loans to have tax transcripts pulled( what is called a form 4506), this entails the lender getting confirmation back from the IRS that the tax returns given were indeed filed and are accurate.