Home refinace attempt going badly... 15 year 2.75% no points.

[ultrarunner]

Don't know how one proves a negative...

Just heard via the loan officer that the underwriter for my credit union has cancelled my application...

This is what was forwarded to me...

************************************************************
The member has listed the subject property as a rental property on schedule E, writing off 100 percent of tax and insurance as an investment property

The members residence property, XXXXXXXXX, (now held in family trust, member has been in chain of title as owner) is primary residence.

Underwriter

************************************************************


The first part is 100% accurate... if you go back 14 months ago (2011 Tax return)... not so since and will not so reflect on tax return 2012.

The second part is 100% wrong... this is the home of my parents and I never have had or ever had any ownership interest in my parents home or been on title...

And, no one in my family has the same name as I do.

Aso never have had or ever held any property in a trust...

I'm thinking maybe I should have a little fun with them and apply to get a loan on the property they say I own and where they say I reside...

Already out $480 for appraisal...

They loan officer said $3,000 in additional fees she can get me a loan on my property

 

[The kid]

Don't know how one proves a negative...

Just heard via the loan officer that the underwriter for my credit union has cancelled my application...

This is what was forwarded to me...

************************************************************
The member has listed the subject property as a rental property on schedule E, writing off 100 percent of tax and insurance as an investment property

The members residence property, XXXXXXXXX, (now held in family trust, member has been in chain of title as owner) is primary residence.

Underwriter

************************************************************


The first part is 100% accurate... if you go back 14 months ago (2011 Tax return)... not so since and will not so reflect on tax return 2012.

The second part is 100% wrong... this is the home of my parents and I never have had or ever had any ownership interest in my parents home or been on title...

And, no one in my family has the same name as I do.

Aso never have had or ever held any property in a trust...

I'm thinking maybe I should have a little fun with them and apply to get a loan on the property they say I own and where they say I reside...

Already out $480 for appraisal...

They loan officer said $3,000 in additional fees she can get me a loan on my property

Try Quicken Loans. They get the money then market it to the big boys. The loan is bought and sold based on your good credit. Credit Unions don't operate like the credit unions of old. They are a bank out to make money too. They will come to your home and write it up. You always have the option to say no afterward.

 

[dmccarty]

Did the bank care that the second point was wrong?

We still use a CU for convenience but we no longer go there for loans. Waste of time and money. I have mentioned before that last year we tried to Refi with the CU and it cost us a good bit of money because they refused the loan. The CU had better rates than the bank we use so we gave the CU a try. After the CU Refi went under, we did what we should have done and talked to the loan officer at the bank and she warned us that getting a decent appraisal was very difficult. If the CU had told us that bit of information we would not have lost our money. We have had a few bank loan officers of the years, but only one was a problem and she was fired, while the rest have been excellent. We have actually been and are on a first name basis with the loan officers. The CU has just been one person after another.

The bank is doing our Refi now and the bank called yesterday trying to get me to move our accounts but the CU is just too danged convenient. If I ever loose my job, the accounts will move to the bank.

There is another CU we can use but their mortgages are a couple points HIGHER than everyone else. That is insane.

Later,
Dan

 

[ultrarunner]

No... so far the Loan Officer has been silent.

I asked to meet with her ASAP and bring my parents complete Trust documentation to prove the Trust has nothing to do with me and that I have no interest in my parents home...

I also contacted the Title Company selected by the Credit Union to explain the problem...

Title officer was sympathetic and said she would look into it... I guess they are not permitted to order or produce a Preliminary Title Report on a property without an Escrow being opened and my parent's home is not in Escrow.

What burns me is here we go again... my credit score is dinged by the Credit Union making an inquiry without credit granted and my Credit Union Account has been dinged $480 for an appraisal that is worthless.

I went to great lengths to explain I wasn't about to waste time, money or impact my credit unless the Credit Union could deliver...

Sure I want to lock in a good rate... that said... I'm not desperate.

Last month I walked away from Provident Funding because they wanted to boost my fees 1 point after my rate lock expired... they did refund all money I paid so I let it go.

 

[ultrarunner]

Sent a note to Loan Officer saying lets make the loan for the House the underwriter says I own... which I don't.

Also included a flier from US Bank's no cost... no fee refi at 2.99% for 10 years.

Had a message last night that says we are on track to close.

Not holding my breath... seems a person has to be prepared to walk away to get anywhere...

 

[dave1949]

Sorry you are having such a struggle with the loan refi. Sometimes I think we are all victims of just plain old ineptitude or lack of ability to do a job well. The games played by lenders don't help certainly, but some things are like dealing with a bubble-head. It might be something in the water.

 

[ultrarunner]

Just an update...

3 months after I started the process with the Credit Union... the refi is to record tomorrow... 2.75% for 15 years and $500 in fees on 200k

Funny thing is in the last week the company that has my original loan and wanted to stick me with $3,000 in added fees after the rate lock expired wants me back.

Also, I went into my bank today and the loan officer I spoke with in January approached me in the teller line and says he can promise a 30 day close or the bank will pay me... another bank we do business with and only offered business loans called yesterday to say they are now in residential and wanted to send a loan officer to my home or business to get me started.

My question is I'm the same person I was 3 months ago... so what gives???

The only thing I know that is different is in December my original lender appraised my home at 380k

In February, the Credit Union appraised my home at 520k

I told both on my application my estimate of value is 500k

Interesting twists and turns and when you don't have a need... everyone is falling over themselves to get your business...

I know I shouldn't consider this a done deal till it records...

 

[J F]

Yeah, don't go screwin' yourself. :laughing: Congrats (hopefully). :thumbsup:

 

[ultrarunner]

Good point and I'm normally not one to jump the gun.

It's just I had given up on lenders and their promises several times the last few months and really got to the point where I wasn't engaged anymore... fine if it did and fine if it didn't...

On a side note... a friend that had always wanted to own her own home bought 7 months ago a nicely done 1930's home in Oakland for 330k...

She is a scientist and is away a lot for work and decided after a few unexpected maintenance issues she really didn't want to be a home owner anymore...

Put the home on the market for 369k and sold it 17 days later for 425k with the buyer putting down 200k cash... for the first time in her life she is debt free... paid of student loans and car note...

It is a crazy market again... the difference is buyers are putting down all cash or huge down payments...

 

[MarkV]

The market seems to be picking up, in some areas anyway. Some friends are relocating for the Atlanta area to Louisiana and put their house on the market figuring they would have 4 to 6 months to get ready to move. House sold the first day at listed price. The house across the street from them that is very similar has been on the market for over a year. Go figure.

MarkV