All Forum Posts by: Lesley J.

How about I change the request.... Looking for a no-ratio mortgage loan, all other details remain the same.

I am looking for someone who can successfully procure a conventional
loan for me, to refinance my primary residence from a high interest loan to a convetional loan, the loan amount is less than 50% LTV, approx 100K.

This person needs to have experience in understanding complex tax
returns and in house underwriting, with whom they can discuss tax
return questions.

I am tired of having depreciation, and one time expenses counted towards my DTI ratio.

The company that manages my properties is getting out of the business and I need to find a replacement. There seem to be hundreds of them in the area, and it's hard to know who is good or not. I have tried working with two already and they didn't work out even before they took over the properties so i'm looking for advice and reccomendations :)

Lesley

Hi Jon,

No I had to take it off the market at that time. This is also info that they were fully aware of at the beginnig of the process too.. :)

Yes I know, and yes it is always a frustrating process. I am always very obliging when they ask all kinds of personal questions and require their triple checks and I did so for about 3 months before I got upset...... for the most part I can give them what they want within a few minutes by return email...

I think that in this case there is definite evidence of abuse, given that they continued to string me along for months and even requested additional appraisals, and then not even just deny the loan but make impossible conditions based on information they had right at the beginning... this is the crux of the matter.

perhaps I should just say --- badly behaved lender then :)...

I know many of you are in the lending business and I know most of you have good ethical practices. I am hoping that what I am about to post is an exception, however I want to bring this to your attention.

In January I applied to refinance my primary residence on which I am paying a 5 yr note at 12%. (only in year 1).
At the same time I also needed to refinance from a hard money loan on a property that I currently have for sale.

My profile is: Good Credit, No unpaid loans ever, DTIR within guidelines, stable background (same employer 14 years) and good salary ... so... both properties owned more than 12 months.

This lender approved the loans, they then proceeded over the next 4 months to apply conditions 5 (yes 5 times!). They had my CPA write two letters stating that I don't file a business tax return, they required me to get a custom letter from the power company to prove that i had been living at my house for a year, they told me that the account information that clearly showed the dates was not acceptable and only a custom letter would do. Over the period of time they requested 3 (yes 3!) appraisals, all of which came in with an appropriate home value for the loan. I had to write a letter explaining why my name changed (i have been married more than one time). They requested title searches on all the properties that I own... and the list goes on..... this is by no means all of it.

during this time the hard money lender graciously extended my loan on the investment property, although the extension costs were high. I have actually had 4 appraisals over the period of the application. 3 of which I paid for....

So, at the last minute (4 months after initial application) they told me that they would not lend on my property (my primary residence) unless I finished installation of my kitchen cabinets, kitchen sink and a few other miscellaneous items within 1 week. Impossible to complete! My house needs some repairs (i am renovating) but is mostly already updated, and has several working bathrooms and all the items needed for a refinance. The information regarding these repairs has been in their hands since the first appraisal was submitted. They continued to tell me they would lend, and even subsequently ordered the 2 more appraisals.

Additionally apparently there is a gas meter missing on the other investment (a rate & term refi), and they told me they would not do the loan unless the gas meter was replaced. I don't know how long this will take but they were supposed to close on Friday and now this!! The house is awesome, granite counters, hardwood floors and the works!!

At this point it is fortunate for me that I was able to put something together and pay off the hard money loan today, since I told this lender to take a hike, I cannot meet their impossible conditions. However i'm am left with some large losses in holding costs and I am out the cost of 3 appraisals.

I know this is a bit of a get it of your chest post, and somewhat cathartic for me, BUT I call Borrower abuse on this one! I'm not going to say what lender this was publicly, but I will tell anyone who cares to privately contact me, so that i can warn them. This practice of foot dragging at the borrowers expense, and abusing the privelege of requesting borrower paid appraisals must be stopped.

L...

DITTO

Actually in this case I have paid for the appraisal myself

Thank you,

I received an initial GFE that showed a bank credit that covered the broker fee, then I received a final GFE on thursday and there was no credit, basically doubling closing costs... and a loan that was 8K less than the application making the cost per dollar borrowed much higher. while I am not desperate for the loan it would make life easier. Broker tells me he is already losing 10K on the loan, based on your answers I think he's talking about the lost opportunity cost not hard cash.

Thanks for the insights!

I have a quick question, I am very curious about something.

if a loan falls through at the last minute does the loan broker normally have actual cash out of pocket. I am curious what their actual cash out would be on a conventional mortgage refi. Maybe lost time but what about the actual $$.