Posted on: 18th Jun, 2009 07:58 am
I got a GFE from a lender that then turned around and said that they are no longer offering loans in Pinellas County Florida. Is this legal?
Not ethical but legal. a gfe is only an estimate it is not a commitment to lend. their investor might have stopped purchasing loans in that area because of defaults.
Unfortunately it is. Lenders can not pick and choose a community to lend to.....but they can choose a city or state.
It may be difficult to get a "loan commitment" these days. It use to be that we could use our automated underwriting program for approvals but...no more. The automated approvals are now a guide but not written in stone.
You would need an approval from a lender where an underwriter has looked at the file and given an approval. Now, that being said if you know you have good credit, sufficient down payment, good work history, then you'll probably be fine. What issues do you have that may raise a red flag to the underwriters?..Ask your loan officer what he/she may be worried about. I'm assuming you are dealing with a loan officer with at least 5 years experience in the mortgage industry who can answer that question confidently.
It may be difficult to get a "loan commitment" these days. It use to be that we could use our automated underwriting program for approvals but...no more. The automated approvals are now a guide but not written in stone.
You would need an approval from a lender where an underwriter has looked at the file and given an approval. Now, that being said if you know you have good credit, sufficient down payment, good work history, then you'll probably be fine. What issues do you have that may raise a red flag to the underwriters?..Ask your loan officer what he/she may be worried about. I'm assuming you are dealing with a loan officer with at least 5 years experience in the mortgage industry who can answer that question confidently.
The GFE is just that an estimate.
It should disclose all rates and fees associated with the loan.
It should disclose all rates and fees associated with the loan.
Guidelines change every week and sometimes every day. If all you have is a GFE, then you are SOL. You needed to be locked in or registered
