All Forum Posts by: Bill McCartney

 Please don't take what I was mean that "it was your fault, you're an idiot and you have no one to blame but yourself" because that is not at all what I, personally, meant. I wanted to be realistic with you that recovering your $2200 through small claims is not a likely scenario. If the numbers I presented were in the ballpark, you might be able to put down an extra 5k, switch to a 3/1 arm with a 3.1% and you just saved your $100 per month they were looking for. These are all solutions that your loan officer SHOULD present to you tomorrow. As I mentioned before, try not to freak yet. I know it's hard, but tomorrow is just around the corner. We're ALL speculating on what some unnamed bank on an unnamed property with unknown terms will do.

You could get another a third IF you could get financing on 2 and 3. Right now you need to finance the #2! Based on your numbers, you're buying a 100k property putting down 25k. If you're at 5% for 30 years, you could only finance roughly $56,500 to drop the payment by $100 per month. Is this about right?

That sucks. Is putting down more to get you below the DTI an option? Again, without know the specifics of the current loan it's hard to say, but you might be able to get into a 3/1 ARM and get it the payment low enough that you could close.

This is 'Merica...you can sue anyone for anything! All joking aside, I don't believe a pre-approval is necessarily a guarantee, hence the "pre." It's hard to say without knowing the specifics of your loan (rate, length, balance), but unless you have a very high rate or short term, an extra 20K seems a bit excessive to reduce the payment by $100 to make your DTIR. He said he'd get back with you on Monday. I wouldn't freak out just yet. In the meantime, I'd figure out how much more down it would require to reduce the payment by $100 or offer to pay off a CC if you have a minimum payment of that much. That way when he calls back you have a possible solution for him already. 

Hopefully they'll work with you to find a solution that works for you both. If not, this will likely be a $2200 lesson. I completely understand you were basing all of your decisions on the fact that you'd get a loan because of the pre-approval, but by incurring nonrefundable costs without guaranteed financing in place, I think a judge will say you were rolling the dice. I know hindsight is 20/20, but as you were approaching the financing deadline, your realtor probably should have advised you to ask for an extension which would have saved you a grand. Good luck!