Enrage!

[LegatoRedrivers]

Ok, so we've been going through this whole mortgage thing for a while now. We got pre-approval for our loan. Then we picked a house, got appraisals and inspections. Then the actual loan approval process. Signed all the paperwork, got word back that we were approved. Our mortgage guy has been telling us for weeks that we'd be in the new house by the end of May. Word was we'd take possession May 23rd.

To give us a little extra time, I arranged for our lease to end at the end of May. They've already got someone lined up, so they were glad to hear they'd be able to get the new tenant in on June 1st.

So this morning I called the mortgage guy just for a heads up on how it was going. He said there was one more paper we had to submit, and we should be good to finish it up and take possession the 23rd. So I send it in. All according to plan.

Then he called me back just a couple of hours ago to let me know that there had been a mistake. The house we picked isn't actually eligible for the loan we'd been approved for. There's another loan that he can get us into, with a slightly lower interest rate but slightly higher insurance, meaning it'll cost me $50 more per month. Said that if I want to go ahead with the new type of loan he can get it set up, but it might take a little longer. Might take until the end of June.

The end of June. We're out of our lease at the end of May. What the heck are we supposed to do for a month while we wait for you to fix your mistake?

 

[sgreen3]

Man that is tough! Sounds about like the trouble me an the ol lady had buying a hud home 2 months ago. Don't even get me started on that fiasco. Good luck to ya hope something gets worked out for you.

 

[LegatoRedrivers]

I know, just ranting. I just can't understand how we could get this far in the process and then suddenly find out that the type of loan is incompatible with that address. Isn't that one of the first things you'd check?

 

[MCgrease08]

Can you talk to the landlord and extend your lease for the extra month?

I'd certainly wait the extra month to get a lower interest rate, even if the monthly payment is more. You'll save more money in lower interest over life of the loan.

Can you put your stuff in storage and stay with family or at a hotel for a month? It's not ideal, but people do it all the time.

 

[Zgreen1]

I bought a foreclosed home and they kept " one more paper" us for about 4
months! When I went to sign for it they were still pushing forms though as I was signing the papers! It was worth the headache though I have a 40k mortage on about a 80k house and I've only had the mortage for about 4 years.

 

[LegatoRedrivers]

Can you talk to the landlord and extend your lease for the extra month?

I'd certainly wait the extra month to get a lower interest rate, even if the monthly payment is more. You'll save more money in lower interest over life of the loan.

Can you put your stuff in storage and stay with family or at a hotel for a month? It's not ideal, but people do it all the time.

I can probably get it moved out if I need to, it would be a pain for everyone involved since there's already someone planning on moving in June 1st. Family doesn't live close enough to my work for me to live with a family member, and I don't think I could afford a hotel room and storage facility for a month; and still have enough cash for the house.

He's calling me back tomorrow to give me an update on how long it'll actually be.

 

[rockhopper46038]

Forgive me, but I don't understand the "lower interest rate but higher insurance" part of your post. Lower interest rate is always a good thing but why would the insurance on the house all of a sudden cost more? Is this private mortgage insurance he is speaking of?

 

[17 squirrel]

See if you can get " occupancy prior to settlement " and pay the home seller rent for the month before the morgage settlement.

 

[forgop]

This type of stuff doesn't always fall at the lender's fault. Certain types of mortgages have certain requirements for loans to get through underwriting and not all homes meet said requirements. It's all dependent upon the type of loan you select and choosing a house that meets those requirements.

 

[Harleyrider_50]

Ok, so we've been going through this whole mortgage thing for a while now. We got pre-approval for our loan. Then we picked a house, got appraisals and inspections. Then the actual loan approval process. Signed all the paperwork, got word back that we were approved. Our mortgage guy has been telling us for weeks that we'd be in the new house by the end of May. Word was we'd take possession May 23rd.

To give us a little extra time, I arranged for our lease to end at the end of May. They've already got someone lined up, so they were glad to hear they'd be able to get the new tenant in on June 1st.

So this morning I called the mortgage guy just for a heads up on how it was going. He said there was one more paper we had to submit, and we should be good to finish it up and take possession the 23rd. So I send it in. All according to plan.

Then he called me back just a couple of hours ago to let me know that there had been a mistake. The house we picked isn't actually eligible for the loan we'd been approved for. There's another loan that he can get us into, with a slightly lower interest rate but slightly higher insurance, meaning it'll cost me $50 more per month. Said that if I want to go ahead with the new type of loan he can get it set up, but it might take a little longer. Might take until the end of June.

The end of June. We're out of our lease at the end of May. What the heck are we supposed to do for a month while we wait for you to fix your mistake?

If this's a mortgage broker........at's you 1st mistake..........

 

[Cameramonkey]

Let me guess, First Option Mortgage? Those jackwagons jerked us around to the tune of $15K. (over the life of the loan) It was so bad our first agent was sacked due to his mismanagement of at least our refi, if not others. (He spent too much time dragging his feet after telling us our rate was locked in when it really wasnt) Even after his boss took over I was still emailing papers repeatedly. "can you email over form x? You never sent it." "You mean the one I sent 14 days ago on this date that you replied to acknowledging receipt, telling me it was the last one?"

That was a year ago and every time I hear their commercial on the radio my blood pressure still jumps 10 points.

Sorry to hear about your hassles OP.

I do like squirrels idea about renting the house the first month. Seems the most logical under the circumstances.

 

[churchmouse]

Ok, so we've been going through this whole mortgage thing for a while now. We got pre-approval for our loan. Then we picked a house, got appraisals and inspections. Then the actual loan approval process. Signed all the paperwork, got word back that we were approved. Our mortgage guy has been telling us for weeks that we'd be in the new house by the end of May. Word was we'd take possession May 23rd.

To give us a little extra time, I arranged for our lease to end at the end of May. They've already got someone lined up, so they were glad to hear they'd be able to get the new tenant in on June 1st.

So this morning I called the mortgage guy just for a heads up on how it was going. He said there was one more paper we had to submit, and we should be good to finish it up and take possession the 23rd. So I send it in. All according to plan.

Then he called me back just a couple of hours ago to let me know that there had been a mistake. The house we picked isn't actually eligible for the loan we'd been approved for. There's another loan that he can get us into, with a slightly lower interest rate but slightly higher insurance, meaning it'll cost me $50 more per month. Said that if I want to go ahead with the new type of loan he can get it set up, but it might take a little longer. Might take until the end of June.

The end of June. We're out of our lease at the end of May. What the heck are we supposed to do for a month while we wait for you to fix your mistake?

You need to find a new loan broker. My wife was in the industry for 20 years before medical issues and this is not right. People who know and do their jobs do not miss something like that.

 

[hoosierdoc]

We had a hard time getting a loan in 2008 to build. Rather than not building we kept going to the point of desperation. We found a bank that would do a 95% loan as a conventional and LOC. They said we'd do 5% down but can you show us 10% in the account to get it past underwriting? I said yes, then come to find out it was a 90% loan when we were about to sign papers. AND they appraised it with a finished basement when we said we were not going to finish the basement.

"Oops" was the response. These guys know you need a home and it's always bank error in their favor. I despise all aspects of those who try to "help" you buy/sell a home.

 

[churchmouse]

We had a hard time getting a loan in 2008 to build. Rather than not building we kept going to the point of desperation. We found a bank that would do a 95% loan as a conventional and LOC. They said we'd do 5% down but can you show us 10% in the account to get it past underwriting? I said yes, then come to find out it was a 90% loan when we were about to sign papers. AND they appraised it with a finished basement when we said we were not going to finish the basement.

"Oops" was the response. These guys know you need a home and it's always bank error in their favor. I despise all aspects of those who try to "help" you buy/sell a home.

Total commissioned based industry. Go figure.

 

[LegatoRedrivers]

This type of stuff doesn't always fall at the lender's fault. Certain types of mortgages have certain requirements for loans to get through underwriting and not all homes meet said requirements. It's all dependent upon the type of loan you select and choosing a house that meets those requirements.

We got pre-approval for the loan, and the house we picked was one of the ones their Realtor send us as compatible with the loan we'd been pre-approved for.

 

[churchmouse]

We got pre-approval for the loan, and the house we picked was one of the ones their Realtor send us as compatible with the loan we'd been pre-approved for.

Yes, this kind of ordeal does fall on the Realtor.
Sorry to hear you are having these issues. Moving is stressful enough with out these deals.

 

[Nazgul]

Something like that happened when we bought our house 15 years ago. I told him to forget it and cancel the sale without penalty because he failed to get the correct info.

They cleared it up in about 4 hours and we closed on time.

They only get paid when it closes, so they are very motivated to find a solution if you apply pressure.

Just my 2 cents.

Don

 

[PistolBob]

You're been jacked with by someone that is not a good mortgage banker. You need to go to a mortgage company today and get the ball rolling with someone else.

Lower rate but higher insurance....bull. What kind of insurance? PMI? Homeowners? What? If you only finance 80% of appraisal, there is no PMI and you can shop around for homeowners to get the best price. The mortgage lender does not set those prices.

The company you're dealing with needs to be outed and you need to file a complaint on them with the Indiana Secretary of State office.

 

[CitiusFortius]

The end of June. We're out of our lease at the end of May. What the heck are we supposed to do for a month while we wait for you to fix your mistake?

if you can, get a new loan officer. (I know you may not be able to) - I was looking into a refinance a few months back and when the 53rd lady sent me the paperwork half of it was wrong. I stopped returning her calls. If you don't care enough about my account to review my paper work before sending it out then you're not getting my business.

 

[hoosierdoc]

Total commissioned based industry. Go figure.

This was through a bank. Are those guys commission based?