Zillow Advice: Mortgage - Two weeks until closing...

This can only be fixed when ...

Thu, 02 Jul 2009 03:28:00 GMT

This can only be fixed when you shopped for a lender you ask the question before you submit your application, not doing so is not the first lender fault it seems you agreed and signed all requidred docks. Imagine for a minute rates went up then your first lender would be a genius. Or if you used a quality broker you would not be facing this scenairo.

You are entitled to a copy of the appraisal so call the manager of the LO if the LO is not returning calls.

You can't order another appraisal. ...

Thu, 02 Jul 2009 02:55:00 GMT

You can't order another appraisal. The case number and appraisal are tied to the property for the next 6 months. When the first lender got the appraisal they would have underwritten it and posted their underwriting finding on FHA Connection (The on-line FHA portal for lenders).

Supposing they did that and already underwrote your application, they can charge you 1% of the loan amount before they have to assign your case number. Once you pay them the 1%, they do have to release the case number and appraisal to the other lender.

nyaj,My gut feeling is that ...

Thu, 02 Jul 2009 01:53:00 GMT

nyaj,
My gut feeling is that you are in a tight one here. The first "fired" and probably/rightfully so, lender will be slow at best to cooperate. Even if they do, 2 weeks from today.... I personally doubt it will happen by then. Try sugar with first lender instead of hounding and try to go higher up and ask for the appraisal as the rates and communication was your reason to go elsewhere and that you were not playing the 2006 mortgage rate roulette. That may get you some sympathy. If not, why not spring for another appraisal and cut losses at $300 instead of $100/per? You are saving 1/2% so consider it a $300 discount point for the 1/2% and get into your new home. Good luck to you, but we are basically delivering "bad news" to the cream of the crop in FL daily pertaining to appraised values etc. and just 30 days ago... it was taking 20-30 days to underwrite a file.. 2009 is not 2006 so think abut nipping a minor loss (really a gain in lower rate) close and start BBQing by the 15th. :)

I have only switched lenders ...

Thu, 02 Jul 2009 01:09:00 GMT

I have only switched lenders once. My first lender had zero communication with me and the rates shot close to 6% a month ago. When the rates dropped 50 basis points I asked him about floating down but he couldn't do anything. I decided to send my business elsewhere 30 days from closing. I have the right to shop for the best deal. I'm not going to give my business to a lender who isn't willing to earn it.

notyouravgjoe, I have read ...

Thu, 02 Jul 2009 00:53:00 GMT

notyouravgjoe, I have read all of your posts and can't help but notice that you lock with one lender, rates improve and they can't offer you an immediate floatdown so you "kick them to the cutb" for a slightly better rate.

Now I maybe mistaken but in order for the 1st lender to lock that rate wouldnt you have agreed to that. If you couldnt live with what was being offered you shouldn't have locked with that 1st lender and then rates would have improved and you could have locked at a lower rate.

I think the next two weeks will be stressful for you and you probably won't close on time but you really have no one to blame but yourself.

It sucks but the only thing ...

Thu, 02 Jul 2009 00:45:00 GMT

It sucks but the only thing you can do is hound that first lender 3-4 times a day until they transfer the case number. It does not take long to do. Also you can threaten to call HUD and report there negligence.

The first lender has not ...

Wed, 01 Jul 2009 23:52:00 GMT

The first lender has not been returning mine or my loan officer's phone calls. They are obviously dragging their feet because I switched lenders. I did tell the first loan officer of my intentions and paid him for the appraisal. This was two weeks ago. Can they be legally responsible for delaying my closing?

I would be very concerned ...

Wed, 01 Jul 2009 23:42:00 GMT

I would be very concerned about your mention of the "first lender" not releasing the case number. Your file will almost certainly NOT be underwritten until your new lender has control of the FHA case.

Your current lender should be able to give you an idea of the time required for underwriting once they have the complete file, but two weeks until closing is WAY too soon to sit idly by hoping the 1st lender releases the case ##. It's time to get it moved.

What probability does the ...

Wed, 01 Jul 2009 23:38:00 GMT

What probability does the LO say that it will be approved in two weeks? Sounds quite doable from my experience, but I've not done it in the current mess of everyone refinancing.