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Old 07-11-2015, 02:01 PM
 
10,403 posts, read 7,478,326 times
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We moved from out of state for my job. We found a house we liked before we moved and a family member checked it out. We made an offer and it was accepted pending inspection. So my other half is a contractor and did the walk-through/inspection as soon as we arrived. I'm a vet so we're going VA through USAA, after shopping around for the best rate. My guy is a whiz with numbers so I defer to him. He found some issues that really need to be taken care of to make it livable. (septic tank replacement, roof, etc) Since they didn't sell "as-is" they negotiated an amount they would reimburse us for those repairs. The sellers insisted on closing on or before the 10th which (at the time) was over a month away. USAA had the closing date as the 3rd but that was okay. So the 10th was yesterday and county offices close here at noon on Friday. The attorney wanted all documents submitted by 1pm Thursday so he could organize, do the HUD stuff - whatever he does. Suddenly USAA finds problems with the numbers.... not to mention they continued to ask me for documents and receipts up to the 11th hour. The attorney closes up at 4pm. They managed to get him the documents at 7:30pm Friday night. He came in on Saturday - today to organize and get ready for a Monday closing, requiring us to find yet another place to stay another 3 days - already got a month in one motel with 3 pets. Now we're in another motel awaiting Monday. Got a call. USAA got it wrong. The negotiated reimbursable amount is not acceptable to VA, which I understand NOW. If USAA had been on their toes from the beginning they could have rewritten the offer to include the accepted reimbursable amount. Anyway we have a couple of choices here: Try to recoup some of our additional expenses as closing goes 5 to 7 days over - or rather 2 weeks past the original closing date USAA had set. Recouped by law suit. Ask the sellers to allow us to move in since USAA now has the property on our home insurance anyway - Hold Harmless, I think it is. Not sure they'll do this as they already said not but we are now ticked off (not their fault) and might just walk away. OR just go on as planned and lose out on about $1400 that the VA says is over the amount they will approve we get back.

I know this is all jumbled together. I'm not too swift with numbers and business transactions. We're waiting to see if we can occupy the house while awaiting for USAA to revise the contract.

Another factor is, I've been on the job 3 weeks and I'm having to take time off for all the flip-flops. I do have accrued leave so I'm getting paid and honestly my supervisor is pretty laid back about this, that shouldn't be too much of an issue as long as I can get my work done. It's just not like me.
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Old 07-11-2015, 02:46 PM
 
3,318 posts, read 7,255,247 times
Reputation: 4095
Quote:
Originally Posted by hunterseat View Post
we moved from out of state for my job. We found a house we liked before we moved and a family member checked it out. We made an offer and it was accepted pending inspection. So my other half is a contractor and did the walk-through/inspection as soon as we arrived. I'm a vet so we're going va through usaa, after shopping around for the best rate. My guy is a whiz with numbers so i defer to him. He found some issues that really need to be taken care of to make it livable. (septic tank replacement, roof, etc) since they didn't sell "as-is" they negotiated an amount they would reimburse us for those repairs. The sellers insisted on closing on or before the 10th which (at the time) was over a month away. Usaa had the closing date as the 3rd but that was okay. So the 10th was yesterday and county offices close here at noon on friday. The attorney wanted all documents submitted by 1pm thursday so he could organize, do the hud stuff - whatever he does. Suddenly usaa finds problems with the numbers.... Not to mention they continued to ask me for documents and receipts up to the 11th hour. The attorney closes up at 4pm. They managed to get him the documents at 7:30pm friday night. He came in on saturday - today to organize and get ready for a monday closing, requiring us to find yet another place to stay another 3 days - already got a month in one motel with 3 pets. Now we're in another motel awaiting monday. Got a call. Usaa got it wrong. The negotiated reimbursable amount is not acceptable to va, which i understand now. If usaa had been on their toes from the beginning they could have rewritten the offer to include the accepted reimbursable amount. Anyway we have a couple of choices here: Try to recoup some of our additional expenses as closing goes 5 to 7 days over - or rather 2 weeks past the original closing date usaa had set. Recouped by law suit. Ask the sellers to allow us to move in since usaa now has the property on our home insurance anyway - hold harmless, i think it is. Not sure they'll do this as they already said not but we are now ticked off (not their fault) and might just walk away. Or just go on as planned and lose out on about $1400 that the va says is over the amount they will approve we get back.

I know this is all jumbled together. I'm not too swift with numbers and business transactions. We're waiting to see if we can occupy the house while awaiting for usaa to revise the contract.

Another factor is, i've been on the job 3 weeks and i'm having to take time off for all the flip-flops. I do have accrued leave so i'm getting paid and honestly my supervisor is pretty laid back about this, that shouldn't be too much of an issue as long as i can get my work done. It's just not like me.

[deleted]

Last edited by Pfhtex; 07-11-2015 at 03:12 PM..
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Old 07-11-2015, 07:48 PM
 
Location: MID ATLANTIC
7,598 posts, read 17,623,584 times
Reputation: 8083
Look you have several things messed up. First, if you didn't close on the home, your insurance is not valid. You took out the insurance as an owner. You are not the owner. When settlement occurs, USAA will adjust the dates of the policy.

You aligned yourself with a Realtor and a loan officer that did not know the criteria for a VA loan. And, I am willing to bet things were just too crazy to sit in on a homebuyers class before you made the largest purchase of your lifetime. The 4% cap on seller concessions is not new and has been around for decades. If you're getting repairs in that amount minus only $1400, you're still getting a great deal. If I were the seller, there is no way I would let someone move in that has had trouble getting the loan to the table. Once you hit 4%, no one can kick in more. Can't they just take one of the invoices and put it in the seller's name?

Chalk this up to a lesson learned. Next time learn more about the process or make sure the parties you engage know what they are doing. You learned the hard way, best rate does not equal best service.
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Old 07-11-2015, 08:39 PM
 
10,403 posts, read 7,478,326 times
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Oh yeah. Forgot the homebuyers course!

I guess we've bought 7 houses between the two of us. A couple of them without using a realtor. This is one of them so it's true, I wasn't on top of the VA process. Been a long time since I used it and I am ROTTEN with numbers. Hurts my brain.

It would seem like a company that is managed by and serves only military members could be trusted to arrange VA funding. You hit the nail on the head. The loan agent is... ... inefficient. He won't even talk to me now. Someone else is communicating with us.
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Old 07-12-2015, 08:47 AM
 
Location: MID ATLANTIC
7,598 posts, read 17,623,584 times
Reputation: 8083
Quote:
Originally Posted by hunterseat View Post
Oh yeah. Forgot the homebuyers course!

I guess we've bought 7 houses between the two of us. A couple of them without using a realtor. This is one of them so it's true, I wasn't on top of the VA process. Been a long time since I used it and I am ROTTEN with numbers. Hurts my brain.

It would seem like a company that is managed by and serves only military members could be trusted to arrange VA funding. You hit the nail on the head. The loan agent is... ... inefficient. He won't even talk to me now. Someone else is communicating with us.
Of the 7 homes you have purchased, have you lost any? (Looking to see if USAA is looking at something else)

FSBO, say no more. This alone is reason for me to keep my advice very brief. Why? You have zero professionals counseling you. That could put a big target on my back.

There is a way to correct this. Who have you engaged to handle your side of the closing? (Please don't say the same person is handling both sides). Take your paperwork in to them, along with the work estimates. Tell them what the issue is and see if they also see a solution.

Good luck!
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Old 07-12-2015, 09:15 AM
 
421 posts, read 306,923 times
Reputation: 570
Quote:
Originally Posted by SmartMoney View Post
...

Chalk this up to a lesson learned. Next time learn more about the process or make sure the parties you engage know what they are doing. You learned the hard way, best rate does not equal best service.

I think I'm going to agree with the OP... it's simply inexcusable for USAA to have a loan officer (or any staff in mortage lending, for that matter) that doesn't know the VA rules frontwards, backwards, and upside down.
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Old 07-12-2015, 09:27 AM
 
309 posts, read 358,933 times
Reputation: 555
I love USAA - We have checking, savings, investment accounts and insurance with them and they are stellar in those areas. I would not, however, deal with their mortgage or auto loan divisions if you paid me. They aren't really USAA. They are outsourced to other companies and they are terrible to deal with. (Even the USAA employees who write insurance hate dealing with them.) Their employees are not held to the same standard or have to meet the same expectations as "real" USAA employees. Their rates are never the best, either.

Our neighbours just sold their house to someone using USAA and were notified three days before their 45 day close that USAA needed another week to finishe the loan (and that they are supposedly averaging 62 days to close right now). We went under contract on our house a week ago with a buyer who had a preapproval from USAA and requested he look into local lenders instead. He ended up getting a better rate, less fees and they said they could do a 30 day close if the VA appraisal comes back in time.

I'm not surprised you have had such a terrible experience with USAA lending and I hope it all works out...and please don't hold it against the company as a whole!
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Old 07-12-2015, 09:51 AM
 
10,403 posts, read 7,478,326 times
Reputation: 18335
First - SmartMoney - the truth hurts. We should have been better informed. I agree with that. And I appreciate your responses to me. I was preapproved by USAA and another mortgage company that is local here. It's all about USAA saying "oh yeah, no problem" and then "wait - there's a problem - we can't close tomorrow" And the problem is that they didn't know/apply the VA regs.

I've been a USAA member for ... I don't know... 20 years? I've been a satisfied customer in all respects until now. Miss Cheery gets on the phone with a smile and a giggle and tells me this stuff happens... I wanted to come through the phone and grab her by the throat.

If I have to stay one more day in a motel room with 3 (by now) neurotic pets and this guy I love but need a break from occasionally.... Oh well. We'll manage. The loan is secure, just some numbers on the contract that need correcting.
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Old 07-13-2015, 02:53 PM
 
1,006 posts, read 627,962 times
Reputation: 2413
Wow, what a mess! To be honest with you, I lost track of what's what... I bought my first home using a conventional loan with 30% down so I didn't go through what you had to go through. Good thing you have an attorney helping you though. The pets may hate the motel ( I also have 3 pets) but it'll be worth the wait. Do what you can, go sunbathe by the motel pool when you get the time, and let these people who are supposed to help you do their job seal the deal.

Good luck!
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Old 07-13-2015, 07:11 PM
 
4,626 posts, read 7,203,593 times
Reputation: 4735
You're not the first to be put through the wringer by USAA on a VA loan. It's been going on for years. You'd think they'd know better.

I've been a member for 35 years. Only did one conventional loan with them.....they were merely okay.
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