Friday, August 12, 2022
Chuck Marunde, J.D., Broker/Owner 360-775-5424


iRealty Virtual Brokers


Broker/Consultant

Washington State

SUBSCRIBE
Light/Dark Toggle
  • Home
  • Search MLS
    • Sequim MLS
    • Sequim MLS Map Search
    • Port Angeles MLS
    • Port Townsend MLS
    • San Juan Islands MLS
    • All Islands MLS
    • How to Search the Sequim MLS
  • Videos
    • Sequim Videos Q&A
    • Buyer Videos Part 1
    • Buyer Videos Part 2
    • Buyer Videos Part 3
    • Buyer Videos Part 4
    • Living in Sequim Video Channel
  • Books
    • Sequim Real Estate for Buyers (Free eBook Updates Forever)
    • Sequim Real Estate: A Buyer’s Guide (Paperback)
    • Escaping California to The San Juan Islands
      • Menu Below
    • Buying & Selling Real Estate in The Rain Shadow
    • Real Estate From Bricks & Mortar to High Tech Virtuality
    • The Seven Myths of Selling Your Home
    • Buying Your Retirement Home
    • The New World of Marketing for Real Estate Agents
  • Agents
    • Professional Buyer’s Agent
    • Flat Fee Listing Broker
Tetralogy
No Result
View All Result
  • Login
  • Register
  • Home
  • Search MLS
    • Sequim MLS
    • Sequim MLS Map Search
    • Port Angeles MLS
    • Port Townsend MLS
    • San Juan Islands MLS
    • All Islands MLS
    • How to Search the Sequim MLS
  • Videos
    • Sequim Videos Q&A
    • Buyer Videos Part 1
    • Buyer Videos Part 2
    • Buyer Videos Part 3
    • Buyer Videos Part 4
    • Living in Sequim Video Channel
  • Books
    • Sequim Real Estate for Buyers (Free eBook Updates Forever)
    • Sequim Real Estate: A Buyer’s Guide (Paperback)
    • Escaping California to The San Juan Islands
      • Menu Below
    • Buying & Selling Real Estate in The Rain Shadow
    • Real Estate From Bricks & Mortar to High Tech Virtuality
    • The Seven Myths of Selling Your Home
    • Buying Your Retirement Home
    • The New World of Marketing for Real Estate Agents
  • Agents
    • Professional Buyer’s Agent
    • Flat Fee Listing Broker
No Result
View All Result
iRealty Virtual Brokers
No Result
View All Result
Home Mortgage Help Mortgages and Truth

Mortgage Problems at the 11th Hour

Chuck Marunde by Chuck Marunde
September 21, 2019
Reading Time: 3 mins read
0 0
0

Mortgage problems are the rule, not the exception today. Even with perfect credit and a huge down payment, a mortgage broker is very likely to surprise you with some strange and often ridiculous demands for additional documentation, and these often come at the 11th hour just before the scheduled closing. If you are paying in cash, you can avoid these pitfalls, but if you are planning to get a loan, you might want to be aware of what is happening to almost every buyer. Just knowing what you might experience with a mortgage broker can help to reduce your stress if and when it does happen, and being proactive on these issues can help you avoid mortgage problems and stress.

Mortgage Problems

Mortgage Problems for Retirees

Mr. and Mrs. Joule made an offer on what they called their final retirement home. The offer was accepted, and since they already had a pre-approval letter and Mr. Joule was retired from a 30+ year career as a police officer, everything looked good and no one was anticipating any mortgage problems with the buyers. First, the out-of-state lender did not know how to address local real estate issues. After weeks of jumping through hoops, the Joule’s were told by that lender that they could not make the loan because there was no private road maintenance agreement signed by all seven homeowners on this private driveway easement. The lender claimed that was required by Fannie Mae. Later it was learned that was not true, and Washington state law specifically addressed that issue for lenders. The Joules turned to a local mortgage broker. I always recommend buyers go with a local lender. [Read What if Your Mortgage Broker is Not Local?]

Mortgage Problems at the 11th Hour

The second broker is one of the best, but the loan processor his company had working on this file was not. The loan processor, unbeknownst to the rest of us, was not paying attention to any kind of checklist (if he had one), because he kept asking for documentation weeks after he should have, and the closing date had to be extended three times. Some of the requests were ridiculous, and he blamed Fannie Mae. One of the 11th hour lender demands was a letter from Mr. Joule’s police department in California stating that his retirement was guaranteed for at least three years. Strange, especially since he retired about 20 years ago and since the lender already had all the pension documents. In all, various mortgage problems caused about a six week delay in the closing. [Read Mortgage Underwriting Problems]

In another transaction, Fannie Mae required a “Real Estate Certification” at the 11th hour, and demanded that everyone, including buyers and sellers and the listing agent and the selling agent, all sign it. What did it say? 

The Purchaser, Seller and Selling Real Estate Agent or the Broker involved in the sales transaction, hereby certify that the terms and conditions of the sales contract are true to the best of their knowledge.

Having been a real estate attorney for 20 years, I can interpret that statement into plain language. Here’s what it says, “Everyone agrees that the contract says what it says, and we all agree that it says what it says.” Does the word “dumb” come to mind for you too? Who is drafting this kind of nonsense? We will never know. Sometimes you just have to laugh and shake your head.

Now you know that such issues can and often do arise at the 11th hour, and you can take some proactive steps to avoid mortgage problems like these (and 100 others). First hire a very credible local mortgage broker. Second, hire a very good Buyer’s agent who has the experience to take you through anything that may come up. At least now you are aware that even with perfect credit, you too could experience some very annoying mortgage problems on your way to closing your purchase.

Last Updated on September 21, 2019 by Chuck Marunde

Tags: Mortgages
ShareTweet
Chuck Marunde

Chuck Marunde

Chuck grew up in remote Alaska, graduated from the University of Alaska with a degree in Economics and Teacher Certification, and after teaching high school for two years, went to law school at Gonzaga University in Spokane, Washington. He served four years as a Captain and JAG in the USAF at Nellis AFB in Las Vegas. After practicing real estate law for 20 years in Washington, Chuck founded iRealty Virtual Brokers covering Sequim and the beautiful Olympic Peninsula. He is the author of 2,200 real estate articles and a dozen real estate books, and he produced over 100 real estate videos. Chuck combined his love for real estate and technology to create a massive Internet presence, and his articles and videos and books have been viewed by millions. Chuck is a well recognized real estate expert and his counsel is sought by other brokers and practicing attorneys around the country. Buyers from New York to Hawaii and from Florida to Alaska seek him out to retain him as their buyer's agent, and home owners around the State of Washington seek him out because of his new Flat Fee Listing Service. 

Related Posts

How do Reverse Mortgages Work
Mortgage Help

Reverse Mortgages: Blessing or Curse?

October 30, 2014
9
Loan Default

Reverse Mortgages – The Danger

September 2, 2019
0
Mortgages and Truth

From Sub-Prime to Financial Meltdown by Werner J. Beier

October 15, 2008
0
Mortgages and Truth

Mortgages – Turn Back The Clock

September 1, 2019
0
Mortgages and Truth

Home Mortgages – The Truth

September 1, 2019
0
Next Post

The Death of Newspapers: What's Going On?

The Closing Date

Leave a Reply Cancel reply

Your email address will not be published. Required fields are marked *

I agree to the Terms & Conditions and Privacy Policy.

This site uses Akismet to reduce spam. Learn how your comment data is processed.

"I wish I read this before selling my
home. I could have saved $50,000." Andy 

Search 2,200 Articles by Category

  • Trending
  • Comments
  • Latest
Buyer and Seller

What if a Buyer and Seller Talk to Each Other?

August 5, 2022
10 Best Places to Retire

Why is Sequim One Of The 10 Best Places To Retire?

September 22, 2019
Prorate Propane

How to Prorate Propane at Closing

August 15, 2015
Terminate a real estate contract

How to Terminate a Real Estate Contract

December 31, 2020
print newspapers

Print Newspapers Losing Readers to the Internet

42
FNMA Killing Transactions by Requiring Private Road Maintenance Agreements

FNMA Killing Transactions by Requiring Private Road Maintenance Agreements

31
Buyer and Seller

What if a Buyer and Seller Talk to Each Other?

26

What Documents Does a Buyer Need to Buy Real Estate?

24
Sequim Real Estate

Massive Upgrades to Sequim Real Estate Blog

August 11, 2022
Subscription to iRealty Virtual Brokers Real Estate Blog

How Do I Subscribe to This Real Estate Blog?

August 11, 2022
Sequim Home

Is Sequim Always Sunny?

August 11, 2022
transformer shortage

Transformer Shortage Stops Building New Homes

August 9, 2022

Subscribe to Chuck 
Marunde's Newsletter

Popular Stories

  • Buyer and Seller

    What if a Buyer and Seller Talk to Each Other?

    0 shares
    Share 0 Tweet 0
  • Why is Sequim One Of The 10 Best Places To Retire?

    0 shares
    Share 0 Tweet 0
  • How to Prorate Propane at Closing

    0 shares
    Share 0 Tweet 0
  • How to Terminate a Real Estate Contract

    0 shares
    Share 0 Tweet 0
  • The Sequim Blue Hole – A Map of Rainfall

    0 shares
    Share 0 Tweet 0

Leaving Comments   I hope you’ll join our community and leave comments from time to time. Please realize that comments, if approved, will be public, so do not use any personal information you don’t want broadcast to the world, and definitely don’t leave a phone number. Comments are not the place to ask Chuck Marunde for help in finding a home. To do that, call or text Chuck.

If you’d like to view how we protect your privacy, see our Privacy Policy.

iRealty Virtual Brokers

iRealty Virtual Brokers reaches out to buyers around the United States with thousands of online articles, MLS sites, apps, real estate books, videos, and much more specifically to help buyers find all the answers to their questions. We also now offer a flat fee commission listing service that saves sellers tens of thousands of dollars.

iRealty Virtual Brokers
125 Olympic Ranch Ln
Sequim, Washington 98382
360-775-5424

Search the entire NWMLS in Washington State:

Sequim-Homes.com

The largest independent real estate blog in the State of Washington with over 2,200 articles totally focused on our client’s best interest, their needs and their curiosity. All free and 100% reliable. I’m here if you need me, 

© 2006-2022 iRealty Virtual Brokers and Chuck Marunde

No Result
View All Result
  • Home
  • Search MLS
    • Sequim MLS
    • Sequim MLS Map Search
    • Port Angeles MLS
    • Port Townsend MLS
    • San Juan Islands MLS
    • All Islands MLS
    • How to Search the Sequim MLS
  • Videos
    • Sequim Videos Q&A
    • Buyer Videos Part 1
    • Buyer Videos Part 2
    • Buyer Videos Part 3
    • Buyer Videos Part 4
    • Living in Sequim Video Channel
  • Books
    • Sequim Real Estate for Buyers (Free eBook Updates Forever)
    • Sequim Real Estate: A Buyer’s Guide (Paperback)
    • Escaping California to The San Juan Islands
      • Menu Below
    • Buying & Selling Real Estate in The Rain Shadow
    • Real Estate From Bricks & Mortar to High Tech Virtuality
    • The Seven Myths of Selling Your Home
    • Buying Your Retirement Home
    • The New World of Marketing for Real Estate Agents
  • Agents
    • Professional Buyer’s Agent
    • Flat Fee Listing Broker

© 2006-2022 iRealty Virtual Brokers and Chuck Marunde

Welcome Back!

Login to your account below

Forgotten Password? Sign Up

Create New Account!

Fill the forms bellow to register

*By registering into our website, you agree to the Terms & Conditions and Privacy Policy.
All fields are required. Log In

Retrieve your password

Please enter your username or email address to reset your password.

Log In
This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy and Cookie Policy.