We live in Texas. Do anyone know of a cheaper mortgage broker?
We were preapproved through a mortgage broker for a $73,000 mortgage and
told that we needed a total of $6500 to get into a house in this price
range.
We looked at a lot of houses trying to find something that we wanted but
there were always foundation problems with everything that we liked.
In the process of driving through different neighborhoods, we found a cute
little house that would be just perfect for our needs. It's an older house
with a new roof and new paint. We called the real estate agent to see how
much this house costs. It turns out that the owner only wants $26,500 for
the house. The agent showed us the house and we decided that this is the
house that we want. This would be our primary residence and not a rental
situation. We are first time buyers. We put up the earnest money so that the
house wouldn't get sold while we contacted our mortgage broker.
Well the broker is now fishtailing on us. We can't understand this. We were
preapproved for $73,000 with $6500 move-in cost. Now she is saying to get
into this $26,500 house we have to come up with $8200. We can't understand
this. Is there a reason for something like this? She didn't even look at the
house we wanted. When I asked her to explain, she said that the closing
costs are just more and that's just the way it is. She finally just hung up
on me.
I called the real estate agent and she suggested that I find a different
mortgage broker. We have 43 days left on the earnsest contract to find
financing. Do closing costs really go up so much when you buy a lower price
house? Do mortgage brokers make some kind of commission? Maybe that's why
she raised the costs of closing?
We live in Texas. Do anyone know of a cheaper mortgage broker?
Sometimes it is easier to get a high priced house then a cheaper one, most
lenders dont want to handle handy-people specials (PC word) and also it is a
form of red-lining, they dont want to make loans on cheap house. If they do
they may request that major repairs be done before they finance it, this way
thier collateral is protected. We have this problem with HUD and other
cgovernment own homes less then $30,000, try and get loan from a bank, if you
can qualify with a mortgage broker you will do better with a bank.
James P Christie