Finance Questions

Archive for the ‘Mortgages’ Category

Question: Purchasing new home, will financing come through?

Let me begin with our situation. First off, we did go to the bank, got pre-qualified . We had all our preliminary paper work sent to us. Have been looking at a house in particular, made a bid, it was accepted. Now we are waiting on apprasials and inspections. We are first time home buyers, so we are totally new to the market. And lost at that. We dont have great credit, but we have a excellent credit history with our banks president. My husbands credit checks out ok, but i have a judgement that we didnt know about. I did tell the loan officer that, and they said we'd deal with it when we came to it. But we are supposed to close on Nov 15. Will we get it taken care of in time, or does it have to be taken care of at all? Would the lender of sent everything through (ordered appraisal and sent to lawyers office for deed search etc.) if he wasnt 100% sure the loan was going to go through. WHATS THE DEAL? I sure hope you all can ease my mind a little.

Answer: be careful because most banks only deal with GRADE A papers. Banks always order the appraisal, title, etc.....before they approved the loan. I used to work at BofA and that was the common practice.

you should talk to a mortgage broker...who can find you a lender that will approve you!

Rep. Doggett: Vultures Coming Home to Roost

Question: Should my property value appraisal go down due to flood zone?

I live in Fayette County, Texas. FEMA recently re-drew the flood zone map, and my property is in it. Because my home is financed, the Mortgage Company requires me to carry Flood Insurance, resulting in an additional cost of almost $800 per year. Homes in my area that are not in "THE ZONE" do not have this added expense. Based on this info, shouldn't this drop the value of the property, thus dropping my property taxes??? Should I decide to protest this appraisal, would you please provide me with some insite on how to go about presenting "my side of the story", and perhaps some tax law and/or property appraisal info that I can reference to back me up?

Answer: No real experience in this area....BUT, as a consumer, if I were to look at 2 similar homes in the same area, one of which is in a flood zone which I KNOW is going to carry an added yearly expense of flood insurance, and 1 that is not, I am going to choose the one that is not. Less maintenance, and less possibility of having to repair flood damage. So, I think that the marketability of your home just went down.

Banking Secrets & Advice : How Does a Mortgage Work?