Posted on: 20th Apr, 2011 09:53 am
I was preapproved for a mortgage by Flagstar bank. The appraisal came back at the full price of the home I am buying. Flagstar will not accept the appraisal, and the appraisal company will not budge on their appraised price. What are my options? I am frustrated that this has been going on for almost a month. Also, I signed a purchase agreement with a nonrefundable EMD of $5000, subject to a satisfactory appraisal. My realtor(seller's agent) is making it sound like I will not get my deposit back if this falls through, because the house did appraise for what I offered. This does not seem right, as the purchase agreement also states the deal is contingent upon me securing a mortgage. Help!!
HI amilynk,
Wecome to mortgagefit,
If the deal does not go through due to the above reason,you are nowhere in the fault and thus you can ask for the refund.
You can also ask the seller to get the new appraisal done so that all the problems will be resolved.Although the deal is contingent upon you but 'disagreement between bank and appraisal company' is not your fault at all.
Given a option you can also search for another lender and thus it may save your money.
You can also go through our communities no obligation free quote ...
http://www.mortgagefit.com/quote/
Feel free to ask any further query if you have..
DIPA
DIPA
Wecome to mortgagefit,
If the deal does not go through due to the above reason,you are nowhere in the fault and thus you can ask for the refund.
You can also ask the seller to get the new appraisal done so that all the problems will be resolved.Although the deal is contingent upon you but 'disagreement between bank and appraisal company' is not your fault at all.
Given a option you can also search for another lender and thus it may save your money.
You can also go through our communities no obligation free quote ...
http://www.mortgagefit.com/quote/
Feel free to ask any further query if you have..
DIPA
DIPA
You applied for a loan with Flagstar, who then I take it, ordered an appraisal with a company they selected, and when the appraisal came back matching the purchase price, you say Flagstar wouldn't accept it?
That doesn't make any sense. Did Flagstar order the appraisal or did someone else such as yourself?
That doesn't make any sense. Did Flagstar order the appraisal or did someone else such as yourself?
yes, flagstar ordered the appraisal..then rejected it 3 times!
Hi amilynk
This is really a B******T behavior from the flagstar.I am using abusive language but I do not find any other word to describe it.If they have rejected it once that also can not be accepted,here in this case they have rejected it thrice.
I do not find any reason to stick with the loan provider,better to search some other good company to finance.
Feel free to ask any further query if you have....
DIPA
This is really a B******T behavior from the flagstar.I am using abusive language but I do not find any other word to describe it.If they have rejected it once that also can not be accepted,here in this case they have rejected it thrice.
I do not find any reason to stick with the loan provider,better to search some other good company to finance.
Feel free to ask any further query if you have....
DIPA
it is really a B******T company.Because the appraiser is authorized by you and still you are rejecting their remarks,whereas most astonishing thing is,it had repeated thrice.
So I do not find any reason to stick with the loan provider.You can surely get service from some other loan provider.Just make sure the fee paid to the appraiser is not fully paid from your pocket,although they may ask for the fees in total (or they might have taken already) but you can always bargain for it because there is no necessity to have three trials.........
Feel free to ask any further query if you have.,....
DIPA
So I do not find any reason to stick with the loan provider.You can surely get service from some other loan provider.Just make sure the fee paid to the appraiser is not fully paid from your pocket,although they may ask for the fees in total (or they might have taken already) but you can always bargain for it because there is no necessity to have three trials.........
Feel free to ask any further query if you have.,....
DIPA
You need to clarify what the reason is why the lender won't accept the appraisal. The only reason I can think of is there were not enough recent comparables that the lender wanted in order to establish a current valuation.
If it is not that, was there a request to have a second appraisal done by another company? If so, who would be paying for it?
At the very least, I hope you can get your $5000 deposit back if this does not quickly get resolved. According to the appraiser the appraisal was satisfactory but according to the lender Flgastar it was not. Of course the seller's real estate agent is telling you that you will lose the deposit if the deal does not go through. Legally that might not be the case and you will need to seek qualified legal advice to get the answer on this.
One possible solution, based on how much time you have to close with the seller, would be to find another lender, give them the details on what is going on and get Flagstar to release the appraisal to them. Not only might you find a more reasonable underwriter but you might also get a better rate and fees that what Flagstar offered.
In any case, just another example of what a total mess the entire mortgage business has become and unfortunately it will likely only get worse.
If it is not that, was there a request to have a second appraisal done by another company? If so, who would be paying for it?
At the very least, I hope you can get your $5000 deposit back if this does not quickly get resolved. According to the appraiser the appraisal was satisfactory but according to the lender Flgastar it was not. Of course the seller's real estate agent is telling you that you will lose the deposit if the deal does not go through. Legally that might not be the case and you will need to seek qualified legal advice to get the answer on this.
One possible solution, based on how much time you have to close with the seller, would be to find another lender, give them the details on what is going on and get Flagstar to release the appraisal to them. Not only might you find a more reasonable underwriter but you might also get a better rate and fees that what Flagstar offered.
In any case, just another example of what a total mess the entire mortgage business has become and unfortunately it will likely only get worse.