Since the appraisal was only for $400,000 we needed to supply the extra $40,000 in cash in addition to the down payment of $14,000, plus prepaid escrow and closing costs.

I pay pre-paids at closing.

But that all said my bank only allows 12 specs  right now we have 5 of those presold with solid deposits and pre paid upgrades . and 3 are all cash.. the 7 are at dig out /  framing and starting on finishes  So will see how it all goes. 

Right out of the gate, I'm crushing any other LO, Lender or Mortgage Broker as I'm $12,000 to 13,000 cheaper with the Realtor Rebate which can pay for my borrower's closing costs, be used to further reduce the negotiated sales price, used for debt reduction, used for Rate Buy Down, pre-paids, extend sales contracts, etc., etc. 

Hi folks,I was wondering if there is a standard approach to determining the prepaid property tax at closing. 

It is limited to; - The new loan amount can not be more than the actual documented amount of the borrower’s initial investment in purchasing the property, plus the financing of closing costs, prepaid fees, and points (subject to the maximum LTV).

Prepaid rent with a deposit seems like a no brainer while you're on vacation.

https://www.fanniemae.com/content/guide/selling/b2...But this line is the same: "The new loan amount can be no more than the actual documented amount of the borrower's initial investment in purchasing the property plus the financing of closing costs, prepaid fees, and points on the new mortgage loan"...Anyone else aware of a definitive change to their Delayed Financing Exception rules?

For comparison purposes, do not pay too close attention to the pre-paid items or the escrow portion of the fees as in the end they will all be the same, just figure out who has the lowest Lender/Title fees and then once you narrow it down, have the LO's explain the escrow portion, I say this, because a newer less experienced LO will "just let the computer figure it all out and a lot of times on the estimate they will just use generic figures like 6 month taxes and 6 months insurance, however, this is not going to be accurate, these should be based on when the next due date is and a reasonable pad (2-3 months is standard for this pad).

@Mary Jay I actually don't like prepaid rent and funny thing is that what's the probability of the business crumbling?