Loan Prospector is NOT applicable for which type of loans?

Loan Prospector is a service provided by Freddie Mac that assists lenders in evaluating and underwriting conventional mortgage loans. It utilizes technology to streamline the loan approval process for loans that meet certain guidelines and standards established for the conventional loan market.

The reason why Loan Prospector is not applicable for commercial loans is that it is specifically designed for residential mortgage products. Commercial loans generally have different underwriting criteria, product features, and regulatory considerations compared to conventional residential loans, FHA, and VA loans. In essence, Loan Prospector caters to the needs of the residential mortgage market, which includes conventional, FHA, and VA loans, but does not extend to the commercial lending sphere, where distinct tools and underwriting processes are typically utilized.