I'm puzzled by the housing market...
...and not just the mortgage industry, but in general, how the realty business and banks make any money with the asinine way they do things. Take a look at my predicament and judge for yourself what a peon like me could possibly do differently to get this done.
After just under two months of looking, making offers on homes, and being rejected or outbid on them, we finally found a house we liked, could afford, and made an offer. We opted to go with FHA financing, which is fine because this house is up to code. We made our offer, essentially an overbid because we are asking the bank who owns the property to cover the closing costs. Within a couple days they accepted our offer and said they had an addendum that needs to be signed.
We received the addendum and everything was in order. It was essentially some time lines and whatnot, just your standard paperwork for the bank. We signed it (After having it revised because they had some wrong names on the paperwork), and sent it to the bank along with a $1000 check, earnest money, to show we were committed to buying the house.
At this point we had to hire an inspector to look over the house to be sure we weren’t getting involved with a problem property. $250 later, he gives us the nod and says it’s good.
Then we have to have the FHA inspector come in to be sure it’s up to code. We took care of a few problem spots that would get flagged. We had to install a fire door between the garage ad the kitchen and paint the deck. $250 later, the FHA inspector gives us his blessing and O.K.’s the Government backed financing. The whole process take about 3 weeks and the mortgage people want their stuff and in the end we get our rate, everything is in order and we are ready to close…NOT.
Remember that addendum? The addendum that the seller bank wanted signed immediately. Their own paperwork, I might add. They have yet to sign it and return it to us. And until they sign off on it, we can’t close. And they are in no hurry to do so. In fact, repeated calls by our mortgage lady and now, my wife have resulted in nothing. They are not going to be hurried and don’t give a shit either.
Here is what puzzles me. The bank is sitting on a property, which is unoccupied and not making them any money. They are paying a larger than average insurance rate on the property and larger than average tax rate on the property due to the fact that it is not occupied as homestead currently. They only have to sign a few pieces of paper and not only will those bills go away, we’ll also give them $130,000.00.
Lack of patience aside, this is going to shortly cause me further financial discomfort. My locked in mortgage rate is only good until the 31st of July, at which point that may, and probably will, increase. I will have to pay for additional time at the rental storage unit as that’s only rented until the end of the month. Not to mention my renters want to move in ASAP because of their own agenda.
All I know is that if for some odd reason I do not get this house, I swear to cheese, I’m gonna sue someone. I’ll sue for lost time at work. I’ll sue to get my $1000 back plus interest. I’ll sue to get them to cover my inspection \ mortgage costs so far. I’ll sue for pain and anguish. Etc. Etc.
With that said, I believe will we still close this month, but my original question remains. How can these people do business like this and expect to remain profitable?
After just under two months of looking, making offers on homes, and being rejected or outbid on them, we finally found a house we liked, could afford, and made an offer. We opted to go with FHA financing, which is fine because this house is up to code. We made our offer, essentially an overbid because we are asking the bank who owns the property to cover the closing costs. Within a couple days they accepted our offer and said they had an addendum that needs to be signed.
We received the addendum and everything was in order. It was essentially some time lines and whatnot, just your standard paperwork for the bank. We signed it (After having it revised because they had some wrong names on the paperwork), and sent it to the bank along with a $1000 check, earnest money, to show we were committed to buying the house.
At this point we had to hire an inspector to look over the house to be sure we weren’t getting involved with a problem property. $250 later, he gives us the nod and says it’s good.
Then we have to have the FHA inspector come in to be sure it’s up to code. We took care of a few problem spots that would get flagged. We had to install a fire door between the garage ad the kitchen and paint the deck. $250 later, the FHA inspector gives us his blessing and O.K.’s the Government backed financing. The whole process take about 3 weeks and the mortgage people want their stuff and in the end we get our rate, everything is in order and we are ready to close…NOT.
Remember that addendum? The addendum that the seller bank wanted signed immediately. Their own paperwork, I might add. They have yet to sign it and return it to us. And until they sign off on it, we can’t close. And they are in no hurry to do so. In fact, repeated calls by our mortgage lady and now, my wife have resulted in nothing. They are not going to be hurried and don’t give a shit either.
Here is what puzzles me. The bank is sitting on a property, which is unoccupied and not making them any money. They are paying a larger than average insurance rate on the property and larger than average tax rate on the property due to the fact that it is not occupied as homestead currently. They only have to sign a few pieces of paper and not only will those bills go away, we’ll also give them $130,000.00.
Lack of patience aside, this is going to shortly cause me further financial discomfort. My locked in mortgage rate is only good until the 31st of July, at which point that may, and probably will, increase. I will have to pay for additional time at the rental storage unit as that’s only rented until the end of the month. Not to mention my renters want to move in ASAP because of their own agenda.
All I know is that if for some odd reason I do not get this house, I swear to cheese, I’m gonna sue someone. I’ll sue for lost time at work. I’ll sue to get my $1000 back plus interest. I’ll sue to get them to cover my inspection \ mortgage costs so far. I’ll sue for pain and anguish. Etc. Etc.
With that said, I believe will we still close this month, but my original question remains. How can these people do business like this and expect to remain profitable?
Labels: Mortgage
posted by Mikey at 3:11 PM
1 Comments:
i like......
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