Finance
A NJ borrower who loses their job before closing on a home may face mortgage denial if the lender re-verifies employment and finds:
ANo impact since the original approval is binding
BThe borrower no longer meets income or employment requirements, allowing the lender to withdraw loan approval✓ Correct
CThe lender must close regardless
DThe buyer can substitute a co-borrower at closing without lender approval
Explanation
Mortgage approvals are subject to final verification before closing. If employment or income changes materially before closing, the lender may withdraw approval, as the borrower no longer meets the underwriting requirements.
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