Recently I closed one of the craziest and most stressful deals I have seen in over 15 years working in Orange County Real Estate. The particular issues with the deal really stressed how important a role the lender can play in making your dreams of homeownership a reality.
Good lenders have the buyer go through underwriting before giving a pre approval letter because if they don’t go through underwriting the letter isn’t worth more than the paper it’s written on. So my lender being a good lender had my buyer go through underwriting; reviewing income, assets, debt to income ratio and all the other items they review. They were given a preapproval letter and we started to look for a property. Found the property the first day out and after negotiating the transaction opened escrow the next day. My buyer was the first in the chain of multiple transactions with two other transactions that were relying on us closing our sale. So all is going smoothly inspections are done then when the appraisal is done it comes in 5K under sales price. Fortunately the seller was reasonable and really wanted their new home so they lowered the sales price to match appraised value and we move on. Then a few days before loan docs are to be processed as required they verify all information on the client such as employment and credit and that’s when a much trickier problem came to light.
The original underwriter missed something on the credit report that caused them to not qualify for the loan. So my lender and I jumped into action and working in tandem with his company, the buyer, and the credit card company and we were able to resolve the issues and close the transaction and all the subsequent transactions were able to move forward. In the end we managed to work everything out and my phone could finally cool down from all the text, calls and emails that were going back and forth while we worked to close this transaction.
So what started as a simple human error was fixed by everyone working together to get the desired results. Not that I like transactions to go like that but having 15 years of experience and working with lenders with equally valuable experience we can make almost anything work out in the end.
If you are looking to purchase your first home, move up, downsized or move out of Orange County I’m here to assist you with all your real estate needs so contact me today.
949 599 6860