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I've seen more lenders start to accept outside appraisals, or transfers. The catch is will your builder's lender accept it or will your mtg company accept theirs? Are you using a mortgage broker? If so, they are likely to know whuch of their lenders accept transfers.
Having said that, don't you want to lock your rate pretty soon? Your answer is probably a yes, so I'd start to decide on one lender.
PS: the builder forcing you to use their lender should be against the law. I cannot understand why the CFPB has not clamped down on this. We all know they get a kickback from the lender.
No one in our area accepts another lender's appraisal, especially if they are making reps and warrants to Fannie. We've accepted someone else's appraisal when a 2nd appraisal is needed, but that is on an exception basis.
OP, we are starting to see appraisals go from 1 week to 2 weeks. Soon UW time will be longer (if not already), as well as, closing times. Decide and commit, you may lose out on both if you're not decisive.
Why haven't you chosen a lender yet? What is it you are waiting on before you decide? Choose and lock.
Analysis Paralysis. Because a quarter-point of interest that can be written off is worthy of study under an Electron Microscope, instead of throwing a dart at the entirety of the financial profile, outside of mortgage interest, and focusing on that.
Credit cards, installment debt, spending habits, Cigarettes and Starbuck's, all of that pales in comparison to the almighty Minuscule Mortgage Interest Delta.
And because it's technically possible, it's ok to lead on two lenders through the entire process, who spend REAL MONEY on man(or woman)-hours, the Opportunity Cost of working with a rug-puller instead of a Loyal Client, processing time, Flood Certs, Credit Pulls, etc., and the General overhead of a branch.
I wish I could contact both of the 100% COMMISSION-BASED Loan Officers and tell them that they are getting played.
I wish upon OP non-injurious Foundation Issues that were missed due to myopic focus on something so meaningless.
Analysis Paralysis. Because a quarter-point of interest that can be written off is worthy of study under an Electron Microscope, instead of throwing a dart at the entirety of the financial profile, outside of mortgage interest, and focusing on that.
Credit cards, installment debt, spending habits, Cigarettes and Starbuck's, all of that pales in comparison to the almighty Minuscule Mortgage Interest Delta.
And because it's technically possible, it's ok to lead on two lenders through the entire process, who spend REAL MONEY on man(or woman)-hours, the Opportunity Cost of working with a rug-puller instead of a Loyal Client, processing time, Flood Certs, Credit Pulls, etc., and the General overhead of a branch.
I wish I could contact both of the 100% COMMISSION-BASED Loan Officers and tell them that they are getting played.
I wish upon OP non-injurious Foundation Issues that were missed due to myopic focus on something so meaningless.
I hear ya Pfhtex!
OP, you aren't doing yourself any favors by waiting. Your indecision may end up costing you much more than a 1/4 point or the cost of an appraisal by the time you're ready to decide. Chose one and let the other know. You are way too close to your closing date to still be dragging your feet. You are working with professionals so treat them that way. They deserve your respect for their time and your honesty so they don't keep wasting their time with you when they could be helping someone else.
Not long ago, I was lender #2, was told so sorry, you've done a great job, but we are closing with xxx lender. Where I work, we don't mess around, we issued an adverse action letter (incomplete loan app). That file had a loan commitment letter on it and we had most conditions cleared, including an appraisal. I always bite my tongue, knowing no one is going to care more than I will about their loan, and I wished them best of luck. Don't you know, one week before their closing I get a call......."is there any way we can resurrect our loan app?". (No). This other lender can't meet our closing date and it's going to cost us $100 a day, they are telling us we are at least two weeks out.
Life has a funny way of coming back at you. Call it what comes around goes around, treat others as you wish to be treated, and 1000 other ways to say, don't be a douschebag, life has a way of righting itself, so the OP should be on the lookout for fair play known as turnabout (how many more trite ways can I repeat myself, lol?)
Everyone here gets that it's human nature to want the best possible rate, but it shouldn't be at the expense of others. Pfhtex was dead on, not only burning thru someone else's overhead, where margins have never been so low, but your loan is putting your neighbor or your coworker behind, working on a loan that will never close. It's fine to have two on the hook until time to lock things down, it's all fair game. But it's time to cut bait or pay for two appraisals.
PS: the builder forcing you to use their lender should be against the law. I cannot understand why the CFPB has not clamped down on this. We all know they get a kickback from the lender.
They don't "force you to use their lender." They require you to complete an application and get approved by theur lender. You can close the loan with whichever lender you want. But the approval allows the builder to begin construction on a house with assurance that the buyer can actually obtain a mortgage when the house is completed.
In my view, there's nothing nefarious about this.
And kudos to Phxtex, Loan Chic and Smart Money for their well stated reminder to not screw over commission sales people.
They don't "force you to use their lender." They require you to complete an application and get approved by theur lender. You can close the loan with whichever lender you want. But the approval allows the builder to begin construction on a house with assurance that the buyer can actually obtain a mortgage when the house is completed.
In my view, there's nothing nefarious about this.
And kudos to Phxtex, Loan Chic and Smart Money for their well stated reminder to not screw over commission sales people.
Yes, that's exactly how it worked with my builder. I shopped around and in the end, I went with that lender after all because their rates and fees were comparable but they threw in an extra credit against the fees.
Now, 18 months later, I'm already doing a re-fi anyway (saving almost a full percent interest and going from 30 down to 20 years), so honestly, I wouldn't turn this into such a huge deal. Just like it's somewhat uncommon for people to stay in a house for 30 years of a mortgage, I think these days, it's somewhat uncommon to stay in a mortgage for 30 years even if you stay in the house! lol!
Analysis Paralysis. Because a quarter-point of interest that can be written off is worthy of study under an Electron Microscope, instead of throwing a dart at the entirety of the financial profile, outside of mortgage interest, and focusing on that.
Credit cards, installment debt, spending habits, Cigarettes and Starbuck's, all of that pales in comparison to the almighty Minuscule Mortgage Interest Delta.
And because it's technically possible, it's ok to lead on two lenders through the entire process, who spend REAL MONEY on man(or woman)-hours, the Opportunity Cost of working with a rug-puller instead of a Loyal Client, processing time, Flood Certs, Credit Pulls, etc., and the General overhead of a branch.
I wish I could contact both of the 100% COMMISSION-BASED Loan Officers and tell them that they are getting played.
I wish upon OP non-injurious Foundation Issues that were missed due to myopic focus on something so meaningless.
Is there a reason to be such a bully? Sure, you seem very knowledgeable on this, but we are not. We are in our early and mid-20s, first-time home-buyers that know NOTHING about this process except what people tell us. We've read about people being screwed. We have friends that have been screwed. This is the biggest purchase of our lives.
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