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Old 07-08-2009, 09:56 PM
 
8 posts, read 53,734 times
Reputation: 17

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Hi, do you think we can get our appraisal money back at least? What is your opinion?

We got pre-approvals, approval by loan officer, then approval from the main mortgage office. Then, Sunday morning, after 2.5 weeks into the contract, the loan officer e-mailed our realtor that the loan has been denied due to the house being "inaccubable".

We have told him several times that the house is new, incomplete and missing all the bathroom fixtures, incomplete kitchen, flooring etc. He made let us apply for regular mortgage loan (which does not apply to unfinished house!) We lost time, maybe a house, and $360 for appraisal.

Is it possible to get the money back if the loan wasn't even applicable to our case - per loan officer's inaccuracy? Had we known then he was applying us to the wrong type of loan, we would have never signed papers and spent these money.

Thanks
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Old 07-08-2009, 10:00 PM
 
353 posts, read 978,251 times
Reputation: 218
You were not denied based on income, etc... the house, in effect, was denied.

Can the home be fixed so that it qualifies? Are you still interested?
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Old 07-08-2009, 10:04 PM
 
8 posts, read 53,734 times
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Yes, we are interested. We are hunting for another lender. All lenders we talked to have said that he has signed us up for the wrong type of loan. We basically waisted our appraisal money with the bank - and he knew all along the house is unfinished. Now he is on 'vacation' and not answering calls or e-mails. We just want the refund for the wasted money at no fault of ours or the house - we gave him all details about the house prior to signing papers.. Thanks for your answer!
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Old 07-08-2009, 10:18 PM
 
28,460 posts, read 80,810,228 times
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The sad fact is one of the first pieces of paper you sign with most lenders that charge application fees is that the fee itself is non-refundable and you cannot hold the lender liable for their decision not to lend nor can you attempt to recover any damages due to delays.

That said, if this is very small lender or huge one ALL lenders have to be licensed and have to live with the knowledge that a legitimate compliant will be investigated and cost them money.

Check with the licensing authority in your state and then find the boss of the idiot that did not realize you were trying to get a loan to complete / rehabiliate an unfinished / non-habitable structure. If they don't want to play nice and give your money back go to the licensing authority.
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Old 07-08-2009, 10:22 PM
 
8 posts, read 53,734 times
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Thanks for the advise!
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Old 07-09-2009, 06:52 AM
 
Location: OK
2,806 posts, read 7,187,787 times
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As far as the appraisal fee is concerned, in my opinion the broler should refund you.

However, if your new lender can do this, ask them to use the same appraiser for their loan and if they can use the effective date of the previous appraisal, and the appraiser is reasonable, he/she will do a new appraisal for a very low fee, if any.
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Old 07-09-2009, 09:21 AM
 
Location: Central Florida
800 posts, read 2,989,100 times
Reputation: 315
Quote:
Originally Posted by mauriciorita View Post
Hi, do you think we can get our appraisal money back at least? What is your opinion?

We got pre-approvals, approval by loan officer, then approval from the main mortgage office. Then, Sunday morning, after 2.5 weeks into the contract, the loan officer e-mailed our realtor that the loan has been denied due to the house being "inaccubable".

We have told him several times that the house is new, incomplete and missing all the bathroom fixtures, incomplete kitchen, flooring etc. He made let us apply for regular mortgage loan (which does not apply to unfinished house!) We lost time, maybe a house, and $360 for appraisal.

Is it possible to get the money back if the loan wasn't even applicable to our case - per loan officer's inaccuracy? Had we known then he was applying us to the wrong type of loan, we would have never signed papers and spent these money.

Thanks
You went for the wrong type of loan, most likely. Go for an FHA 203K rehab loan so the money to finish the work will be escrowed until it is complete. Ask the lender about it or find another lender.

Lenders won't lend on a home that is not deemed livable.

You are out the appraisal fees. New laws will not let you use the appraisal with another lender. Lenders must now order their own appraisal.

Good luck!
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