Underwriter won't allow me to be reimbursed

[Angelo Behar]

House has termites and electrical problems. Seller doesn't have money to rectify both problems. Seller agrees to repay me. An addendum is signed by both parties. Underwriter has this addendum which states, at closing, the seller will reimburse me for the items I paid for. Everyone is happy.

Day of closing, final HUD sent to underwriter and she decides I am not allowed to be reimbursed for the expenses I came out of pocket for, and had a signed addendum stating I would be reimbursed. I asked her why, and I quote, "because I said its not allowed"....why, oh, why underwriter? $2,000 lost because she said so?

Is she allowed to do this? If not, what course of action can I take after the closing? The house should close later today.