All Forum Posts by: Kristine Eickman

I am the seller, not the buyer. So no, I had no idea they were doing one and no idea of the results because it was never mentioned, until they canclled.

@Chris May

I have tried to reach out several times to this company that the POF came from to find out how he got it and if he ever applied for a loan with them, but they never responded to me. When I look them up, they don't even have a website or a contact number. I had to search and search just to find out how to call them.

Then you have the lender that he actually did apply to (which I did not find out who they were until 4 days before he cancelled the contract even though we asked multiple times and were ignored) is fairly shady as well. You can pay them $5.00 for a proof of funds letter.

This whole thing is just so frustrating. I called this company to find out about his loan and was told on 2 different occasions that all he did was apply (and by his name and not in his company name which was how he wrote the contract) and they had been trying to call him back and get information from him and he never returned their calls.

Then all of a sudden he comes up with a denial from this company saying they could not fund the loan. No reason why, just they can't. So I called the person on the letter and let her know that I was trying to figure things out because I was told by someone else in the company on multiple times that he never got further than applying for the loan. This woman calls me back and immediately is defensive telling me this person I had spoken with was in her office (and was "just" a junior loan officer) and this gentleman did have a loan (in his companies name) and they did an appraisal and it did not appraise so they denied him. She then asked me who I was and I told her the seller and she immediately told me she was not giving me anymore information. It was her tone though, that was just so defensive it made me wonder, what is really going on here. There is no need to yell and be angry at me for verifying the denial letter.

Anyway - she said it did not appraise and I was never made aware an appraisal even happened. It could not have been an in person one because I would have had to OK it since it is a short term rental and it would have had to have been done in-between guests. 

Like I said, I completely believe there is something very shady happening here, but I am not willing to spend one more cent on this guy. Even if I took him to court, I doubt that I would ever get anything from him.

I can confirm at least one more, that I can tell. But I do know that he has wasted others time going to look at properties on more than one occasion. He does not seem to understand that a realtor is not just doing this stuff for fun and for his entertainment. It costs them a lot of money and time to mess around with buyers.

My home for sure he used a new realtor because it was in a different state than he lives. I am not sure if he just called this realtor out of the blue or how he found him, although I do know this realtor did not know him before this. But this realtor spent a lot, and I mean a lot of time and energy on this deal and I am sure was expecting his 3% commission at the end of it all.

Oh I believe he is in total breech of contract (on many accounts), but it is going to cost me way more than the $2000 that I would get in escrow money to prove it and have an attorney go after him.  I would love to do it, but the $10,000 I have already lost is hard enough to take, I don't want to spend anymore money on this guy.

Our buyers private lender said they did not approve his loan due to a low appraisal. I knew nothing of this, it was never mentioned to me and buyer wants to back out and get escrow money back. However, I believe they must have only done a desktop appraisal because I was never informed an appraisal actually even happened. Can HML's use a desktop only appraisal and deny because of that? And would I, the buyer, be allowed to know that an appraisal had actually been done? Should'nt I be aware of something like that?

Just wanted to come back and do another quick update. First let me say that as an investor, it makes me LIVID that these type of people give all of us a bad name. I own my own home (actually at 41 I am on my 4th home) as well as 3 rentals. So while I am no expert, I can call myself an investor. Someone who creates an LLC and calls themselves an investor even though they have NEVER actually purchased a property in the 2 years that they have been in "business:", not an investor.

Unfortunately, this "investor" is part of our BP community. Mine is not the only home he has gotten a contract on and then cancelled. I suggest to this person that he step back a little and realize what he is doing when he writes these offers on homes. Realize how many peoples time he is WASTING and how much money he is costing them. His realtor spent a lot of time and energy on this deal from the beginning and will get nothing for it. My realtor spent a lot of time and energy on this deal and will get nothing from it. WE have lost thousands of dollars (close to $10,000 when it is all said and done) because of this deal and I honestly don't think that he ever intended on actually purchasing the home to begin with. I think it makes him feel like he is actually doing something and "in the game" when he is doing it, but really has no way to actually purchase these homes. You are screwing around with peoples business and it is not OK.

Keep this in mind next time you want to feel excited about being a real estate investor and make another offer. Will you think about the others involved? Probably not. But at least I put it out there and hopefully gave you something to think about. Messing with peoples's lives and business is not going to make a good name for yourself. And the more times you do this and your name gets out as someone who never closes a deal, the less people are going to work with you. Because they know it will just be a waste of their time and money.

Next time I will be a lot more aggressive when accepting an offer and make sure that everything checks out before I sign anything. Silly me for actually trusting someone to be telling the truth.

Got it - thanks. However it does go agsinst what Bill said which is:

Any HML offering to make a loan is still required to provide a denial letter, BTW

But if in all this you were denied, the lender DOES have to provide a letter stating the denial, correct?

Just wanted to come back and give some more information. Here we are over a week after we have been asked to cancel the contract and he STILL cannot produce any lender contact information or a denial letter from any of these 3 supposed lenders he tried to get financing from.

We believe that he is using this financing contingency to get out of the contract because of some other reason. There is a lot more to this than meets the eye and the longer we look into it, the more we find. We are pursuing this earnest money because we believe that we have a right to it. He cannot provide any proof that he even tried to get lending, much less denied. We were never provided with a commitment letter, which he was to provide within 10 days of signing the contract. Now he is saying he was denied lending by 3 lenders yet flat out refuses to provide any contact information for said lender or a denial letter.

Like I said, there is a lot more to this than meets the eye. This guy probably attended one of those "buy houses with other peoples money" seminars and started writing offers on homes under false pretenses that there is absolutely had no way to ever purchase. Mine is not the only home he has done this to. This guy has never actually closed a real estate deal. 

Thank you so much for your detailed response Bill. I really appreciate you taking the time to write it all out clearly so I can understand.