Home Buying in Los Angeles>Question Details

Skitzuu, Home Buyer in Los Angeles, CA

Condo seller won't show us financials until we get the financing rolling. How wrong/right is this?

Asked by Skitzuu, Los Angeles, CA Fri Apr 13, 2012

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8
I think the seller is well within their right. Afterall you are asking them for financial infromation, so they want you to show them yours.

By securing financing you will show the seller you are a serious buyer .


Best of Luck to you!

Kawain Payne, Realtor
0 votes Thank Flag Link Tue Apr 17, 2012
Dear Skitzuu,

In this type of market (with so many distressed properties) it's not uncommone for seller to require, bank Pre-Qualification, Proof of Funds, FICO score and so on. This is one of the reason Buyer Agents will not go out with buyers who are not willing to provide such financial documentation. It's not Right or Wrong..it's the Rules of Engagement.
0 votes Thank Flag Link Sun Apr 15, 2012
Hi Skitzuu,

The California Purchase Agreement specifically states how many days the Seller has to order these documents so please refer to your agreement. On the other hand, the same agreement states how many days you have to apply for a loan and show proof of funds, etc. So both of you are bound by time constraints.

Good luck!
Judith Gottesfeld
Gibson International
310.428.6978
JG4RealEstate@yahoo.com
0 votes Thank Flag Link Sat Apr 14, 2012
Skitzuu,

What is the status of this transaction? Have you submitted an offer to purchase? If so, has it been accepted?

Thank you,

Angie Simpson
Coldwell Banker
0 votes Thank Flag Link Sat Apr 14, 2012
It takes time to get the HOA docs, from management co. and it costs... You must move forward and the HOA docs will come when management co gets them out...sometime can take up to 21 days, so if you wait you will not be able to remove your loan and appraisal contingency on time.. YOU will be in breach of contract.
0 votes Thank Flag Link Fri Apr 13, 2012
I hope you are talking about pre-approval. When being pre-approved, you'll need to fill out a mortgage approval application, provide your income and assets information, your credit is run by the mortgage company, and your info is run through DU (Desktop Underwriter) software to see how much you are pre-approved for.

Giving your pre-approval letter is paramount with your offer - this confirms to the seller that you are ready to buy (will be able to buy), if the offer is accepted.

Financials of the condominium are normally shown after you are in contract (signed by both parties), and a certain time period is allocated for you to review them. To feel better, if you are not sure about this condominium financial status, you can go see the property manager and talk to the condo association about your questions or concerns. I usually go to see the condo manager with my clients, and all questions get answered right there.

Irina Karan
CDPE - Certified Distressed Property Expert
IrinaKaran@gmail.com
Beachfront Realty, Inc.
0 votes Thank Flag Link Fri Apr 13, 2012
The seller probably has to pay a fee for the documentation prep so that is their hesitation. That being said, disclosure is very important in any transaction and getting the HOA documents can sometimes be an arduous and time consuming task. It is also information that could make or break the deal. You are both right in that these thing should happen simultaneously once you are in escrow. Ideally the seller should not have accepted a deal from anyone who was not past the initial steps of financing. So you should both get on the go and make things happen.
0 votes Thank Flag Link Fri Apr 13, 2012
Most Sellers won't do anything without you having a preapproval submitted to them. This is reasonable because if you aren't qualified they are disclosing info for no reason. You have to make them comfortable that you are a legitimate buyer.
0 votes Thank Flag Link Fri Apr 13, 2012
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