Honestly, I wouldn’t count on the process getting much easier after your first property. I’m just wrapping up my first mortgage and even with a clean paper trail, they still wanted to know where every cent came from. I get that organization helps, but sometimes it feels like no amount of prep can stop the random questions. If anything, I’d say expect the same level of scrutiny each time—maybe even more if your portfolio grows. It’s kind of nerve-wracking, but at least you know what to expect next time around.
I hear you on the scrutiny. When I went for my second mortgage, I thought having all my docs lined up would make things smoother, but nope—still got grilled about a random deposit from months back. My credit wasn’t perfect either (mid-600s at the time), and that definitely made them dig deeper. They wanted letters of explanation for stuff I barely remembered.
Honestly, I think lenders just get more cautious when you’re not squeaky clean on paper, especially with rentals. Even small dings on your credit can turn into big questions. It’s stressful, but I guess it’s their way of managing risk. If anything, I’d say being over-prepared is better than under, but yeah... don’t expect it to feel routine just because you’ve done it before. The hoops are real, and sometimes they add a few extra just for fun.
Yeah, I totally get what you mean about the “extra hoops.” When I refinanced our rental last year, I thought I’d done everything right—had a folder with every bank statement, pay stub, you name it. Still, they flagged this $200 Venmo from my brother and wanted a full explanation. My score was just under 700 and they acted like I was some kind of risk. It’s wild how much more they scrutinize rentals compared to a primary home. Guess it’s just part of the game now…
It’s wild how much they dig into every little thing now. I’ve had underwriters question deposits as small as $50—like, do they think I’m laundering money in $50 increments? Sometimes I wonder if it’s just a way to cover themselves or if there’s some rulebook we’re not seeing. Did you end up having to write a letter of explanation for that Venmo, or did they let it slide once you explained?
Yeah, I’ve noticed the same thing—every little deposit gets flagged now. I think a lot of it is just compliance paranoia, especially after all the new regulations. Did you have to dig up old screenshots or just write a quick note? Sometimes I feel like they’re just looking for any reason to slow things down.
