applied for a loan, payed the fees, approved for the loan. the mortgage company defaulted on the loan, legal?
we got a realtor and went through the process of searching for a home. finally found a home we liked and put a contract on the home.
we payed the earnest money, appraisal fee and option fee for a total of 950.00. we were told that we were approved for 100% financing of which there is no such thing. the mortgage company told the seller that we were approved so go ahead and move out. she did.closing date was set . underwriters and loan company had a problem exchanging paperwork and we could not close on the date set. a new date was set and we had to file an extension on the earnest money contract. mortgage company changed their minds and defaulted on the loan. is this common and is it legal?
What you wrote doesn’t make sense.
You wrote: “We were told that we were approved for 100% financing of which there is no such thing.” 100% financing is very common.
You wrote: “the mortgage company told the seller that we were approved so go ahead and move out.” Mortgage companies don’t talk to the sellers. Mortgage companies issue pre-approval and commitment letters to the buyer, and then the buyer provides this to his/her agent, who then in turn provides it to the seller’s agent.
You wrote: “mortgage company changed their minds and defaulted on the loan.” Mortgage companies don’t just willy-nilly change their minds. Lenders are in the business of lending money, if they don’t, they go out of business. Therefore, there would have been a valid reason – like problems with verifying a borrower’s income, assets, and/or work history.
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Thanks to new federal rules, reverse mortgages don’t have to sting as much at the outset. Previously these loans — which let owners 62 or older borrow against their home and don’t have to be paid back until the owner moves or dies — always carried high upfront fees.
The above mentioned are the basic requirements in order to qualify for a home loan. Secondly, I was interested to know how big a home loan I could get considering Mortgage Appraisal Fee. As soon as I knew how much, I could start searching for a house.
Mortgage Appraisal Fee
searching online for a mortgage broker as suggested in my previous??? regarding refi or equity loan?
meanwhile can anyone suggest a few good mortgage brokers. And wouldnt the Rate be determined by my credit currently 625. Also,is it fact that each inquiry will need a credit check and therefore it will post on my credit report which brings the credit score down 3 points per inquiry. I am concerned about this. Im currently at a 625 with a thin crdit file however Im slowly building my credit by making my pymnts to my vehicle and loan and credit card. I will be taking the advice from the posters and look for other alternatives or at best a lower rate. Thank you all very much
3 minutes ago
I understand that the appraisal fee’s are coming out of my pocket if I am to take the loan through citi financial but they did not say anything about who covers the fee if I dont take the loan. Could I be the one responsible even if I turn there offer down?
Appraisal fees do come out of pocket, and there will also be processing fees if your loan is approved.
Yes, as it is mandatory to get an appraisal of your property before a lending institution will consider a loan for the property. You must have this appraisal done by an appraisal company to show which ever and any lenders the appraisal on your property. The appraisal is yours to keep and the loan will be based on the appraisal of the property.