Another Finance Question

[Doyle Willis]

Our mortgage broker is just awful. We were approved for a loan in January this year. But do to problems with the land title, which were easily cleared up but took time, we did our first closing on June, 22. Our temp finance was up yesterday. We have moved into the home and have lived there almost 2 months. Now the mortgage broker in Dallas tells us that a mortgage can not pay off a personal loan. I tookout a loan to buy the land and there was no lein placed on the land. The land is siad to be collateral in the note. My pick up is also listed on the note. The mobile home people want me to get the note out of my name for a week, so my ratio of income to debt will be ok for the mortgage. Then take over house payments of 650.00, plus the 323.00 on the land. I told them I could not afford this and they told me they would check on a few things and let me know something. Does anyone have any ideas as to what I should do?

[rmurray]

Really sounds like you got VERY bad advice from your dealer as well...See if I understand...

You had a pre approval in Jan...maybe even a full approval..title problems came up..June you closed on a personal note to pay for the improvements..this at the dealer's suggestion I assume......Now you go back to get permanent loan...but they recheck credit and now you are out of ratio...or maybe your scores are much lower now because these kinds of personal loans lower your scores...you have not had the home long enough to do a refi for any equity that might be available....better yet the dealer is now asking you to go home only..by committing fraud on your application...Of course..if you have not paid the dealer for the home..you should not be living in the home..the dealer was silly not asking for a proper construction loan......

What does your broker say about why he cannot get you done now????????,,If you qualify for the dealers home only loan...you should easily be able to qualify for a mortgage....Maybe you should find another mortgage lender asap....One way or another you have to pay for this home now..if not the dealer can take it back..he will HAVE to keep his lenders happy...Just do not commit fraud to get out of this hole..that is a fast way to get into a bigger hole..Has other things changed since Jan...such as job..income..other obligations..if so you might be in big trouble..

[Doyle Willis]

January we got full approval. Title problems, then re approval in May. Signed first closing on June 22. We were supposed to sign final closing on July 30. But broker said FedEx lost paperwork. He never sent it. He then changed companies and we were late on a student loan payment for my wife. So he went with just my income and now the ratio is wrong. As far as construction loan, I beleive that a proper one was done. We sign a mechanics lein on everything to both the dealer and temp. finance company. Insurance has been paid for a year, I had to take care of that. The dealer was the one that gave me premission to move into the home. Now I am afraid that I will lose the house and land, even though nothing I did was wrong. I still have the house I moved out of so moving again could be done easily. But I do not want to lose the land.

[rmurray]

If you did a full construction loan..the dealer would be paid..

I hope others are reading a little here...The construction process can take months..even smooth deals take 3 to 4 months...During construction...nothing can change with your credit situation..no changes in income..no changes in outstanding credit..no changes in credit rating...CREDIT IS ALWAYS RECHECKED JUST PRIOR TO THE FINAL CLOSING..

Generally if you have a construction loan...you will have up to 6 months to do a final close...the dealer should have his money..period..and you should have interest payments and a balloon payment facing you soon..Most construction loan companies would renew the loan if there are reasonable circumstances...30 days late on current payments is NOT considered reasonable..

Get the student loan up to date...or get a deferment asap....Then find a lender who can work with you...you might be able to get approved for something...if the dealer is not paid...maybe you can get approved for an amount where the dealer would have to hold a 2nd mortgage for about $10,000..This would be better for him than moving the home off the property...He will learn a lesson as well about letting folks live in a home before all is finished..

You should file a complaint with you states banking department as well on this broker..and oringinator...might not help you..but might help someone else from having the same problem..