All Forum Posts by: Alan Lacey

@Simone Martorelli it is fine as long as you buy as you are buying as a non occupying co-signer. Lender would need to account for your present housing expense in debt ratio. Also if you sign as a occupying borrower and you don’t intend to it is still occupancy fraud.

@Courtney Wroten there is no way to avoid them it is contractual. The option would be to work for a lender that doesn’t charge them. It is one of the things people tend to not think of when comparing comp as a broker vs bank or mortgage co., or take some of comp on each loan and set it aside which is essentially what lenders that don’t charge back to LO so.

The sellers agent is likely not going  to return calls or emails at this point because you are going to be suing the seller, and the less they say the better for them. Just be 100% clear to your agent and other agent the seller is either going to find the money to close, or pay that much in legal fees and damages as a result of the lawsuit. The listing agent likely had no idea the seller didn’t have the money to close to be honest. It is not a everyday occurrence. The agents might be willing to reduce their commission to make the number more workable for seller as well.

@Cham Oug as much as conventional rates have gone up I. The last 2 months non am money has gone up more.

@Ryan Cleary any lender should be able to offer that. Freddie Mac allows 85% on a add purchase.

https://sf.freddiemac.com/general/maximum-ltv-tltv-htltv-ratio-requirements-for-conforming-and-super-conforming-mortgages

@Alicia Marks if they can locate mortgage statements prior to disbursement to lender they should be able to tell if it was applied towards principal. If it was a executed agreement seems unlikely they will be able to renegotiate.

@Frank Agyeman-Duah not to beat a dead horse but the fha loan is owner occupied only as well. I am assuming no one mentioned and you didn’t notice occupancy requirement on refi. It isn’t a gray area as some suggest it is a violation of note, but I do t presume it was intentional. If you try another lender a good chance they won’t care, but many will.

@Jay Hinrichs it isn’t a flat charge it ranges from 1.125 to 3.875 point over the current adjusters for second homes the 3.87 difference being only those financing over 80%.

There is no clear reason given for the change, but assuredly some of the reason is the number of second homes that were being turned into short term rentals and wanted to more closely align risk based pricing with investment. Under 75.

I suspect you will see private money be some quite interested in second homes over a 69 ltv as those yields should be enticing.

@Sean MIddleton what you are describing is not occupying as a primary residence and that is the requirement.There is no way to be creative about a home being primary dwelling. Just do it right live there for a year. There is no rule against house hacking so that works.

@Jack Perfett when most people discuss closing costs they are referring to actual loans costs. I wouldn’t let that throw you I. That the loan estimate requires lenders to include prepaid funds for escrows etc. as you are using fha you also have the ufmip as a pretty substantial cost even thought it is financed.