Legal or illegal request from underwriter?

[Peggy Liu]

Hi BPs!

I need your feedback on this. So I've applied for a mortgage loan. The investment property is in Illinois, a 3/2 house. It appears that I've passed all the requirements from the underwriter except for one thing - they want my roommate's bank statements showing that she pays me half of the rent that we live in here in Los Angeles (This is for DTI calculations) First of all, I have already supplied the underwriter with all my bank deposits, clearly showing her monthly rent checks, copies of the canceled checks from the past 12 months. There are several issues. My roommate switched banks this past April and so, she would have to go in person to her old bank to request for the old bank statements. She does not have time to do that this week. She's working 16-hour days doing tax accounting. Issue isn't just that she does not have time, she does not feel comfortable supplying her financial statements out. She's not even on the loan, not a borrower. But the underwriter won't approve my loan otherwise. They said that my DTI would go up. Is this legal for them to request someone else's financial statements, when they are not applying for a loan? What are the lending laws in Illinois and underwriting laws? This is all very new to me. I've never had to supply underwriters more than my own financial statements. Please advise.