Time to walk away..

Home Forums Purchase Program Time to walk away..

This topic contains 2 replies, has 2 voices, and was last updated by  TTrumble 5 months ago.

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  • #41978

    familyof5
    Member

    My husband and I weren’t actively seeking homeownership, but when my girlfriend and her husband successfully purchased a home through naca, we decided to attend a workshop. Less than a week after attending our workshop, we scheduled our first meeting and were told there that we were ready for home ownership! We spoke with our MC about once a week and we were pre-approved within a month (jAnuAry). We found a house about a month into our preapproval ( February) and put down our earnest money and got an inspection ($900 total). Our MC was often impossible to get in touch with and I was alarmed but patient, assuming that with a program like this that they had a heavy client load. Either way, we would have to call him 4-5 times, email him multiple times, leave messages with the front desk, etc before he would even respond. I was Worried that we wouldn’t be able to close at this rate. About 40 days into our 45 day contract, I called, who I’m assuming was his boss (she hosts the workshops) and asked her to check on my file. After review, she insinuated that we were nowhere near close as our bank application hadnt been submitted and switched me to another MC. I was Apprehensive because we were purchasing a HUD home, and after your initial contract time frame comes to an end, Hud will begin to charge us $225 every 15 days until we close. They also require a letter of explanation from the lender describing where we are in the closing process. I wanted To walk away at the thought of shelling out that money but I was assured that my file would be worked on at a regional level and we would get through it. HUD gave one free extension and at the end of it, we still hadn’t made much progress. At this point, we are 60 days into closing (end of April). Our explanation letter was due that Friday along with the funds. No one would return my calls, or my realtors calls. I eventually got in touch with my MC who said that I may need to consider walking away to avoid having to pay hud. I made Up my mind that maybe these were all signs that this may not be the house. Friday evening, after the deadline of turning in hud extension funds and the letter, my realtor received the extension letter (this was about a week after asking for this letter to avoid hud canceling our contract for missing the deadline). We sent in the letter and funds that Monday (Hud was closed over the weekend) and our first paid extension was granted. We got the okay to submit our file to the bank and went and signed docs the following day. That was nearly two weeks ago. We haven’t heard from anyone at the office since submitting the bank app. We must submit another extension and pay another $225 this Saturday 5/19 and my local office was informed via email 5/14 (my realtor cc the hud rep, Myself, two local office MC that had been working on my case, and my closing assistant) and got no response. I’ve called, left voicemails and emailed each of my local office contacts since 5/14 (today is 5/17) and still have gotten no response. I called My closing assistant who informed me that they still had to order an appraisal and once that was done we’d get bank conditions. There is no sense of urgency and unfortunately, seeing as how we are financially responsible for paying hud fees I just don’t think it’s wise to continue. We have yet to receive a closing date and I’m worried it’ll be at least another month or two. We can’t blindly keep
    Throwing money away with no end in sight. I’m not upset, just better informed now and home ownership may not be in the cards right now.

    #41979

    familyof5
    Member

    At this point we’ll lose about $1300

    #41980

    TTrumble
    Member

    Hello familyof5,

    What you are talking about doing is the same as entering the Boston Marathon and you’re about to win it, then deciding to quit 50 feet from the finish line because you are tired of running.

    I’m truly sorry about the delays you are experiencing, but you’re simply too close to closing to quit now. Also, there are some non-sequiturs here that have me scratching my head a bit.

    I’m not sure why you are still trying to contact your MC and “mailed each of my local office contacts” since your Closing Coordinator is your point of contact from the moment the bank app is submitted until the time you close on the home. Email blasting everyone you have an address for often creates a “boy who cried wolf” situation and can be counterproductive to your efforts. Focus on the Closing Coordinator and you’ll probably do much better. (By the way, it needs to be YOU, not your realtor. Only if you happen to use a NACA in-house realtor, who is therefore a NACA employee, does the realtor have the legal ability to inquire about the status of your loan application.)

    You also indicated that your bank app had not been submitted 40 days after you signed your Purchase and Sale Agreement. That is virtually impossible unless underwriting found a significant problem during the review they conduct just before granting credit access.

    Likewise, submitting the bank app two weeks ago and the appraisal having not been ordered doesn’t add up. The bank orders the appraisal virtually the same moment they register the loan application upon receiving it.

    Long story short, I need to review your file to get to the bottom of this for you. Please email me with your name, NACA ID number and Forum screen name so I can investigate and help you get to the finish line.

    Tim Trumble
    Online Operations, NACA
    ttrumble@naca.com

    • This reply was modified 5 months ago by  TTrumble.
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