topic Re: Outstanding Conditions Angst! in Mortgage Loans

Outstanding Conditions Angst!

indiasnowden — Thu, 03 Feb 2011 02:23:12 GMT

My happiness over being approved for an FHA loan with Wells Fargo has been short lived. Tonight, I checked my voicemail on my break. A coworker of my LO said she is working with him on my loan and wanted to review my outstanding conditions list. My LO ran my file by the underwriter before I officially went in to sign papers and review the GFE? and she said she didn't see any problems. My LO said twice that he didn't see anything else that I would need to provide other than what I had already given him. So, now I find out that I have outstanding conditions after I have paid for the inspection, paid for the credit pull, paid for the appraisal which won't be done until Friday because of the ice storm, etc.

I am supposed to close March 3rd and February is a short month less three Sunday's which are not business days, normally. So, now I am freaking out. I have eaten a half a family size bag of Munchies (store was out of ChexMix Extra Spicy).

Now I understand why people on the mortgage board are always stressed out. Now, I get it.

Re: Outstanding Conditions Angst!

Anonymous — Thu, 03 Feb 2011 03:02:13 GMT

I myself am suffering from snowstorm angst - I have a March 28th closing and I had to push back my lead-based paint, feasibility for 203k, and regular inspections all to Monday. Nothing goes to underwriting til I have the inspections done. I'm freaking out because I also need the appraisal to come back at 160k or less - if it's higher, I'm not going to be happy.

Re: Outstanding Conditions Angst!

indiasnowden — Thu, 03 Feb 2011 03:07:02 GMT

If we get anymore ice storms Mother Nature may take care of your below 160K appraisal. You have two months so that seems to be a little breathing room right there. That old musty groundhog didn't see his shadow either so we are supposed to have an early spring. I think the stars are aligning in your favor. Let us know how your inspections go. Chin Up!

Re: Outstanding Conditions Angst!

BrianB_The_Loan_Professor — Thu, 03 Feb 2011 03:19:19 GMT

were there any conditions that you could not satisfy? 99% of all loans get a conditional approval first

It is there that the UW asks for all supporting documents that they feel necessary to solidify the loan

Dont stress it to bad - it is standard

Stay Warm

Brian

Re: Outstanding Conditions Angst!

indiasnowden — Thu, 03 Feb 2011 03:47:40 GMT

I am not still not sure what "conditions" are but I originally called Wells to get preapproved so that I could make an offer. LO talked to me at quite some length then took my info and crunched my numbers in the system. It came back "with reservations" for conventional with 20% down. My LO called my real estate agent with a prequalification and faxed it over to her. I made the offer, etc. accepted. I called to make an appointment per my contract within the 7 days allotted for an in person application with LO. He told me over the phone that he had talked to the underwriter and ran my file past her because I had voiced concerns over running into problems at the last minute (like I have read here at the forums). He said the underwriter didn' see anything that would keep me from being approved. He told me I looked pretty good compared to what he usually sees lately.

I went in for my appt. I ended up going FHA so I would have a larger reserve after closing. When my LO ran my final paperwork through the computer it said "approved"! He printed out everything and we reviewed and I signed and initialed. The appraisal has been scheduled but was pushed back to the 5th because of the ice storm. Tonight is when I received the voicemail talking about "conditions". The person did not say what her job was but she mentioned my LO's name.

So, I am upset and freaking out. But, then again, I still cannot watch Bambi all the way through because it makes me cry too much. Ditto for Charlotte's Web.

I am definitely calling first thing in the am.

Re: Outstanding Conditions Angst!

IOBA — Thu, 03 Feb 2011 03:59:41 GMT

Buying a place is stressful.

When I was buying house eons ago, I was preapproved by my bank. Paid the fee, everything was in, everything was moving forward, had insurance binder, appraisal, inspection...and my bank, which was holding my 89k or so, went silent.

The manager had employees screen his calls. His employees told me to stop calling. This was 2 weeks before closing.

So I took EVERYTHING to another branch, explained, and the branch manager there looked things up. He said I was approved for my loan and he didn't understand why things were at a stand still on their part. He said the loan dept would call. Well, some guy did, demanded $460 to make my loan go through. (I had already paid the loan fees and told him so. The manager had already verified it.) The guy said look, you don't give me money right now, this wont' go through. I called the branch manager back, told him what transpired, and he said he would deal with it. Then he went off line.

A week before closing, both branch managers are ducking my realtor and me. I take everything, including my tears, to a third branch. This was on a Friday and I was to close the following Friday. Explained, she verified I was approved, that underwriting had approved...and said she would get back to me.

Wednesday night, after this branch manager went silent, I called my realtor in tears and said it's not going to happen. Cancel the deal. The bank was ducking me, since I had a letter saying I was approved for the loan, no conditions, everything else was done, I was going to loose my $5k ernest money.

Bless my realtor's heart and determination. She found me a lender on Thursday, I closed that Friday.

My original bank never explained WHY things stalled. They have no answer. I went to corp VP and demanded a FULL refund of my fees. He gave them to me.

That 89k sitting in their bank quietly left. Part for the house and the rest to another bank. They never even asked me why the money left.

To this day, I have no idea why things stalled. To this day, the bank has never asked me why I moved my money.

The moral of this story is do not give up. Miracles happen. As stressful as it is, try not to stress. I didn't get my lender until less than 24 hours before closing. THAT was a miracle!

Hang in there!

Re: Outstanding Conditions Angst!

indiasnowden — Thu, 03 Feb 2011 04:03:12 GMT

Thanks, I feel better. I will save the other half of my Munchies bag for tomorrow.

Re: Outstanding Conditions Angst!

IOBA — Thu, 03 Feb 2011 04:06:12 GMT

lol! It is stressful, I know.

Mine was. So I started eating m&m's with my carrot sticks. Added a little color to my life.

Re: Outstanding Conditions Angst!

Anonymous — Thu, 03 Feb 2011 15:47:04 GMT

WHAT ARE THE CONDITIONS?

Sorry, just wondering.

Re: Outstanding Conditions Angst!

IOBA — Thu, 03 Feb 2011 18:21:36 GMT

No need to apologize Mauve - it's a good question for the OP.

Re: Outstanding Conditions Angst!

indiasnowden — Fri, 04 Feb 2011 01:02:52 GMT

I left two messages for the loan processor because I am in a little bit of a state. I left a message for my LO. My LO, who is wonderful by the way, called me back very promptly and explained that this is normal, he received my approved file with the conditions but has not had a chance to review them, he will call me back Friday to review the list and send a follow-up email. He told me he sent my file off on Friday and to receive it back with conditional approval on Tuesday from the UR is pretty good. He told me to quit spazzing. He said I have plenty of time before my March 3rd close.

So, I feel better. The lack of follow-up communication from the processor made me think the worst.

Thanks to everyone who left words of encouragement.

I still do not know the specific conditions. But, since conditions with approval is normal in these trying times according to my LO I will not stress any longer.

Today is a good day.

Re: Outstanding Conditions Angst!

IOBA — Fri, 04 Feb 2011 03:17:47 GMT

Keep us in the loop! So excited for you!

Re: Outstanding Conditions Angst!

Anonymous — Fri, 04 Feb 2011 14:15:00 GMT

My realtor's business partner had to talk me down earlier this week. I'm panicking about the appraisal and the timeline for March 28th! You're not alone! I imagine these people are used to dealing with people being kind of nutty.

Re: Outstanding Conditions Angst!

Anonymous — Fri, 04 Feb 2011 20:00:34 GMT

I can completely relate to what you two are going through. I am a veteran now, having survived underwriting and conditions and closing on my house in November. My nails are just starting to grow back, I chewed them down so low! It is stressful, stressful, stressful... and totaly worth it!

Take a deep breath, relax (I know, easier said than done), and have confidence that nothing will come up that you can't handle. I didn't know for sure if my loan was going to go through until the day of closing! You'll be fine. You'll be in your new houses by summer. Yeah!

Re: Outstanding Conditions Angst!

indiasnowden — Sun, 06 Feb 2011 03:02:51 GMT

Update for person wanting to know conditions: I received my conditional acceptance letter in the mail and my LO called me to review it on Friday. They only wanted to verify a few bank deposits even though I had submitted those bank statements already. So, I have made additional copies.

They also questioned the hard pull for PSECU when I applied to become a member for the experion monthly FICO score. So, I have to write a letter of explanation. No biggie.

Here is the biggie: they could not verify my 2009 return. I efiled last year. IRS has no record, they say, so now I have to call my local office and find out if I can file the return with them, which is now considered late and I will have penalties I guess. I do not care about the money part, I can afford to pay that. The time crunch has me worried. If the local office cannot help me I guess I will have to pay a tax attorney to file the late return and my payment on my behalf as proof that the tax liablity has been satisfied. I have no idea where that stuff is; I may have thrown it away. I know, I know I should keep them, please do not rub salt in my wounds.

Any other ideas let me know, my scheduled closing is March 3rd if my aorta doesn't implode in the meantime.

Re: Outstanding Conditions Angst!

Anonymous — Sun, 06 Feb 2011 10:26:51 GMT

that tax issue may be a big problem. They usually only accept tax transcripts from the IRS as proof and it takes awhile for the IRS to process your application. A letter from a lawyer will not likely mean anything because a letter from the lawyer saying they are filed and paid only shows that you likely submitted. It does not show the IRS actually recieving, processing, and actually accepting your returns as accurate and all items paid in full. That is what they need, I think you used to be able to file at a local office and go that route but I think most banks stopped taking that (some may still do it). In any case, you need to get a very clear explanation from the underwriter exactly what proof they need to proceed. More than likely it is going to be IRS transcsript. Make sure the LO actually clears this with the UW and does not just give you a one off answer.

Re: Outstanding Conditions Angst!

Anonymous — Sun, 06 Feb 2011 22:09:58 GMT

Mickie, she's having a problem with her 09 return, so do you have a suggestion for that?

I don't understand how IRS wouldn't have it - did you get a refund or have to pay for that return?

Re: Outstanding Conditions Angst!

indiasnowden — Thu, 10 Feb 2011 19:23:44 GMT

Title "As the Mortgage Turns". In my continuing saga I have a new update. I went to HR Block to have them print my 2009 return. I remembered wrong. I did not owe money, I overpaid by $50.00. That is probably why I forgot about the return and I never heard anything from the IRS. So, today I overnighted the 2009 return to the IRS and it will be delivered Friday am. So, I still may not close in time and the deal my fall apart in the meantime who knows. But, on the bright side I do not have to cough up $700 plus like I originally thought. My LO now says I need to forward copies of the info including my receipt to HR Block and the Postal Service showing overnight delivery per the underwriter. Hmmm. The plot thickens. Will I close or won't I close. Let's take a poll (kidding). I hope all the posters and visitors to this forum are doing well and have a safe and enjoyable weekend.

Re: Outstanding Conditions Angst!

Anonymous — Thu, 10 Feb 2011 20:44:40 GMT

It's so hard to think about anything else during this time period! Your date was Mar 2, wasn't it?

Re: Outstanding Conditions Angst!

indiasnowden — Sun, 13 Feb 2011 21:22:34 GMT

Dear Mauve:

Took a couple of days off to destress. My closing is March 3rd and I am supposed to pick-up the keys on March 4th. I tell everyone it is March 2nd to give myself an extra day for running around at the last minute if necessary. Thanks for asking. I apologize for the delay in responding.