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Home Builders using preferred lender

1) Can the home builder, legally have you lay down more money to start the building process if your not using their preferred lender? 


2) Can the home builder legally deny you of building a home because your not using their preferred lender? 

3) Can a home builder legally charge you more for a AC unit because your not using their preferred lender? 







  • August 18 2012 - Lehi
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Answers (2)

I am sure they are not putting it that way, they are saying that if you use their lender they give you a discount. So see they are not charging you more, you are not getting a discount offer. The bottom line is the same, and you are forced to use their lender . Which assuming all things are equal should be the same to you unless your bank is giving you other "discounts" in that case you need to decide which"discounts" are more convenient to you. Best of luck.
  • August 19 2012
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Maria said it well. They offer those things as incentives if you use their lender because the builder will get a kick back for the loans that are done through "preferred"  their lender.

as far as your second question I dont think they could deny you the build. That would be a form of discrimination and Im sure you could put some pressure on them that would make them think otherwise.

Also I have negotiated several times the a.c. and down payment for my clients w/o using the builders preferred lender.

Feel free to contact or call me with any questions and I would be happy to give you more free advise.

Justin Critchfield
Century 21
[Phone removed by Zillow moderator]
  • August 20 2012
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