One week b4 close; HELP!

[64met]

Here is my situation.... we r closing March 31st; while shopping around my loan to lenders I came across one that had great rates(5.5%) on a 7 yr ARM; he indicated by paying down 6k on two 12 month SAC accounts(that were not EVEN DUE YET) we would have no problem being approved for this rate.  Now yesterday (a holiday) after his assurances as recently as  Tuesday all was good; he now says... sorry, your high score is 722' but the middle of 716 won't allow you to get this 5.5 rate! WHAT?? ARE YOU KIDDING ME?  We did what he asked; paid the 6k and now this... one week b4 close! We sold our home and close the 25th of April; our new home is set to close 3/31/08. BTW... this situation looks like might cost me in terms of additional pmts per month approx. $300.00!!!!!!!!!!!!!!!!! 

Any lenders out there that can help?  IMO this is absolute BS! I feel mis-lead and hate to say it but lied to.

Funny, how thay say the housing industry is a mess right now... well I am one individual that pays his bills on time/ every time and after this situation I wish we never considered moving!  It just isn't worth it!

If any lenders read this and can help; please PM me!  Not sure what options I have at this point.

[Anonymous]

64met I am so sorry for your troubles! I feel your pain. Hopefully Shane the mortgage man will reply to you. He has seemed to help a lot of folks on these boards.

We had a similar situation w/a local broker we were working with. I have learned it is not approved until it is in writing and you are closed!! Anything can happen!

Read below but you might also want to try lenox financial.

We were just recently approved thru a local broker and in the end she couldn't get it done as she had planned. It was a nightmare! She even set the close date w/the seller and we were all waiting around. Then, they found out they couldn't get PMI with our credit and only 5% down. Just 3 months before she told us not to save the $$ we had in savings but to use it toward other debt even nthough we were approved in october. We listened to her and what a nightmare it has been! She also told us not to worry about my credit and that we could 100% get approved on my husband's salary even though he started a new job. So...we didn't, we kept the money in savings.... Then here we are in march, trying to close, she runs my credit w/out asking and then tells me we need to now use my credit so we can count the income!! uuggghhh! I should have never listened to her and wish i would have taken the money and paid off all the little debts I had (less than $6k total) and been working on my credit 6 months ago like I am now.

We then went to lenox financial. They have been very helpful, very honest and direct. They state it like it is and I would highly recommend them. We are scheduled to close in Mid to late April.

[64met]

Already left Shane a PM!  This situation is so irritating!!!  I just spoke with the lender that gave me all this wonderful advice and I should not be surprised but he basically said the IR might go up one full point!!!! Of course, he won't know for sure until Monday!  This guy is a piece of work!!!! Well I did the math and one full point increases my pmt. by $527 per month!!!!!!!!!!!  So, might just take my chances with the sellers of our new home... and just DON'T CLOSE. 

[Anonymous]

you might want to check w/the seller. Given how the mkt is they might give you time. When we found our home a year ago, the sellers had it on the market almost a year, we asked if we could do a rent to own and we wound up contracting on the house and did an extended closing. We just scheduled the date out to close at a later time. Depends on how your market is locally!

Good luck! I am sure Shane can probably help you! I left him a msg and he called me yesterday!

[64met]

someday... just left you a PM!

[Anonymous]

It's not the job or a mortgage broker to advise you on how to improve your credit or your score.  Shame on him for telling but, honestly, shame on you for listening.

[haulingthescoreup]

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@Anonymous wrote:

It's not the job or a mortgage broker to advise you on how to improve your credit or your score. Shame on him for telling but, honestly, shame on you for listening.

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Hi, texican, please be more supportive of your fellow members on the board. The last thing that anyone needs to hear when it looks like a closing is falling apart is something like that. thanks

[64met]

texan,

I wonder if you would say the same thing if it were you?  And oh BTW... just a few things my lender did not give me... how about a truth/lending statement? And oh... an application!!!!!!!  And the last time I looked a lender's job is to help his/her client get the best rate available; and this advice unfortunately NOT only cost me about 6k in  early cc pmts. BUT with one week to close... I am now forced to jam everything in; in under a week!  You see; all along; I listened to this individual; well I have learned my lesson!

[Anonymous]

Texican, I agree with the others in regard to your comments!

For those of us who know nothing of how FICO works, and given the current housing market, sub-prime issues and over all economy it is not a typical market. As you know things are changing by the day and those of us who do not work in real estate, mortgage or finance can be "taken" by those that do.

Though it may be our fault we listened" to the broker there are 1000's that are doing the same thing. Just as you would go to your dentist for advice on cleaning your teeth, when talking to a mortgage lender you trust that they know what they're talking about when they're trying to help you get financing. They can be very convincing even if they don't. So don't blame us, blame those that pretend to know and really don't.

I'll agree I learned a huge lesson on this one and thus the reason I am on this board trying to learn for myself. However, I agree w/64met, this board is for SUPPORT and you seem to be doing just the opposite.

Message Edited by someday22 on 03-23-2008 06:26 PM

[64met]

Good Morning Someday!

Well, after much anxiety over the weekend; my Wife this AM is taking all the documentation to a lender that spent in total several hours on the phone Saturday with me discussing this entire matter.  So, unless something crazy happens again; we will still close next week! Although at what appears to be a higher IR! Yes, I don't want to pay a higher IR; but it appears the rate quoted earlier was just a pipe dream.  And BTW... Shane called me late Satuday evening; what a GREAT GUY!!!

Take care; and I appreciate your help this past weekend!