How are mortgages regulated?

[Filkins Susan]

I hope this is a quick question, and I can get an easy answer.

I am buying my first home, and am waiting for a closing date. Our mortgage lady is aggravating me to no end. We have applied for a conventional rehab loan. When we ask if various things can be done, her standard answer is "not with a rehab loan".

Is there some standards or rules set for these loans by the FDIC, or are these just "rules" made up by the bank we are dealing with?

Any help would be much appreciated! Thanks!!

SUsan