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I think we're more screwed than the OP! We also live in IL We are scheduled to close the house next month.
This 2nd preliminary loan my husband signed has DRASTICALLY changed! For one, the government grant of $7500 is gone! In the first preliminary she put $7500 as cash deposit. In this 2nd loan she just put our earnest money which is $1000 as cash deposit? I actually just called her to ask her why the $7500 is gone in this new loan. I left a voicemail.
I want to say though that we are borrowing LESS than 90k but our NEW GFE total is more than 7K.
So we are definitely MORE screwed than the OP.
What I also found out coz I just compared the interest rates and total costs of the 2 contracts.... I was shocked to know
The total estimated prepaid item increased by $1000
The total estimated closing cost increased by almost $2000
The total of ALL cost increased by almost $2000
The total GFE estimated settlement charges increased by almost $2000
But my husband already signed ALL of the papers PLUS the notary so he is expecting me to turn it all over TODAY.
Do I have to. MY husband does not want to shop for loans anymore because we are supposed to close next month.
What doesn't make sense is your husband's refusal about getting a second quote.
Ugh. He's at work and if I insist on getting a 2nd quote. He will just get mad. So, since this is only preliminary loan. 2 total so far. And he expects me to turn it over today too. Because he will REALLY get mad if I didn't turn over the papers today.
What I will do is call for 2nd quote then? And if we get a better deal on this 2nd quote, can we just tell this current shady broker we found a new one and we won't pay any cancelling fee?
I actually will just turn over the papers and tell her we are not happy with ALL the increase and that I will DEFINITELY get a 2nd quote from my bank.
I think we're more screwed than the OP! We also live in IL We are scheduled to close the house next month.
This 2nd preliminary loan What is a 2nd Preliminary Loan? my husband signed has DRASTICALLY changed! For one, the government grant of $7500 is gone! Name the Grant Program In the first preliminary she put $7500 as cash deposit. In this 2nd loan she just put Put where? our earnest money which is $1000 as cash deposit? I actually just called her to ask her why the $7500 is gone in this new loan. I left a voicemail.
I want to say though that we are borrowing LESS than 90k but our NEW GFE total is more than 7K. If it's an FHA loan this amount may not be out of line as it may include as much as 14 months of property taxes and homeowners insurance, as well as the rolled-in Mortgage Insurance Premium.
So we are definitely MORE screwed than the OP. You seem to really be convinced of this, but so far you have merely posed a question as to the drop-off of a "Government grant. These Grant programs have some specific guidelines into which you should check, with your Loan Officer.
What I also found out coz I just compared the interest rates and total costs of the 2 contracts.... I was shocked to know
The total estimated prepaid item increased by $1000 Prepaids are always in flux. Variables include your projected closing date, your actual cost of Homeowner's Insurance, and the actual Property Taxes.
The total estimated closing cost increased by almost $2000 Where? This could be a change in the prepaids based upon actual property taxes and homeowners insurance, and your projected closing date.
The total of ALL cost increased by almost $2000 See above.
The total GFE estimated settlement charges increased by almost $2000 See above one more time.
But my husband already signed ALL of the papers PLUS the notary so he is expecting me to turn it all over TODAY. Which papers? What is "notary" referring to?
Do I have to. Go on? MY husband does not want to shop for loans anymore because we are supposed to close next month.
Were we screwed?
A couple little questions:
This is a purchase, correct?
You mention closing next month, but also mention "notary." What is this?
How much are you putting as a down payment?
How much is your homeowners insurance quote for?
How much are the property taxes?
What is "2nd preliminary loan?"
If you did not qualify for the Grant, and your broker changed the quote in accordance with the actual property taxes, homeowner's insurance and closing date, how is this shady?
A couple little questions:
This is a purchase, correct? Yes. Home purchase. First time buyer.
You mention closing next month, but also mention "notary." What is this? IHDA borrower affidavit
How much are you putting as a down payment? The first preliminary loan my husband signed, the broker put $7500 which is the grant. In this 2nd loan which is still a preliminary not final, she just put $1000 as our downpayment which was our earnest money. Which I did call her today to ask why is that but I got a voicemail.
How much is your homeowners insurance quote for? $600
How much are the property taxes? I can't see it in this loan but in redfin it said it's $2,079.34
What is "2nd preliminary loan?" meaning my husband has signed 2 loan contracts so far and it is not yet final. In both loans it is ticked as preliminary not final.
If you did not qualify for the Grant, and your broker changed the quote in accordance with the actual property taxes, homeowner's insurance and closing date, how is this shady?
Because she specifically told me on the phone that the reason we are signing this new loan which is still in preliminary stage, is eventhough the grant ran out of funds on the first loan, she 'fortunately' found as another and when I asked what it is she said -welcome home IL.
Because she specifically told me on the phone that the reason we are signing this new loan which is still in preliminary stage, is eventhough the grant ran out of funds on the first loan, she 'fortunately' found as another and when I asked what it is she said -welcome home IL.
That, in and of itself, is not shady. You are apparently looking to put zero down on a home loan. She is trying to facilitate this. Please clarify the rest of my questions.
That, in and of itself, is not shady. You are apparently looking to put zero down on a home loan. She is trying to facilitate this. Please clarify the rest of my questions.
Didn't I? I bolded my answers in post #27. But yes, we don't have enough money for downpayment and that's why we NEED that $7500 grant.
Here I copy paste for you:
This is a purchase, correct? Yes. Home purchase. First time buyer.
You mention closing next month, but also mention "notary." What is this? IHDA borrower affidavit
How much are you putting as a down payment? The first preliminary loan my husband signed, the broker put $7500 which is the grant. In this 2nd loan which is still a preliminary not final, she just put $1000 as our downpayment which was our earnest money. Which I did call her today to ask why is that but I got a voicemail.
How much is your homeowners insurance quote for? $600
How much are the property taxes? I can't see it in this loan but in redfin it said it's $2,079.34
What is "2nd preliminary loan?" meaning my husband has signed 2 loan contracts so far and it is not yet final. In both loans it is ticked as preliminary not final.
OK. If you can locate the Itemization of Fees forms for each loan, mark out your personal information and post them, we can drill down and see which fees changed.
Do you have a contract for the purchase of the home yet?
I just don't get a bad vibe about this situation. Yet. Grant programs are coming back in a big way, and there may be others for which you qualify. They do carry guidelines of their own, the main one being (usually) a 45% max debt ratio, and max income guidelines, usually at 115% of the county's median income rate.
Isn't it in the Broker's best financial interest to get you the grant? If you can't make the down payment, the broker loses the deal. So I would think that the removal of the grant is not shenaniganistic.
If you can post the Itemization of Fees sheets, that will answer one question. We may have to wait for your broker to get back to you regarding the Grant situation.
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