Posted on: 22nd Oct, 2010 08:44 am
I have a cash out refi question for you.
During application I gave my est appraisal amt at 500k and wanted LA of 375k which is 75%LTV. The appraisal came in at 425K so I lowered my LA to 340k which is 80% LTV.
My question is during my rate lock I had a Discount credit of -1875.00 based on the 500k estimate. Now that the appraisal came in lower and the LTV went up 5% to 80% the mortgage company wants to increase fees and reduce the Discount to -400. Is this common lending practices in Florida?
cash out adj was +.625, now it is +.750
LTV/fico adj was 0.000, now it is +.250
During application I gave my est appraisal amt at 500k and wanted LA of 375k which is 75%LTV. The appraisal came in at 425K so I lowered my LA to 340k which is 80% LTV.
My question is during my rate lock I had a Discount credit of -1875.00 based on the 500k estimate. Now that the appraisal came in lower and the LTV went up 5% to 80% the mortgage company wants to increase fees and reduce the Discount to -400. Is this common lending practices in Florida?
cash out adj was +.625, now it is +.750
LTV/fico adj was 0.000, now it is +.250
Terry, I do not see anything wrong with what they are doing. They need to do this to keep that rate they promised you.