Home Buying in 11236>Question Details

May, Home Buyer in Brooklyn, NY

How soon can one start to look for another property if bank denies mortgage loan on a contract deal?....thank you.....

Asked by May, Brooklyn, NY Fri Mar 22, 2013

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7
Rhonda Holt’s answer
Hello, if you are denied by a lender you should immediately ask for a denial letter from the bank on their letterhead just in case you cannot get financing and have to cancel the deal to get back your down payment or extend your contract.

Once you get the denial letter you should move on to another lender immediately, but before you do you should know exactly why the previous lender could not give you a loan commitment. Once you know you can ask the next lender if they can seriously help you with that issue and assist you with the loan.

If you need assistance getting a loan I can suggest some great mortgage lenders for you to select from.

If you need any help feel free to contact me.
1 vote Thank Flag Link Sat Mar 23, 2013
Thank you for a very helpful answer....and if....they deny it...I will take all !!! your advice!...and will give you a call if need be...thanks again enjoy your weekend.
Flag Sat Mar 23, 2013
Without much information as to why the loan was denied, an accurate answer can't really be given....
1 vote Thank Flag Link Sat Mar 23, 2013
Hi May,

You can start looking for a another property right away.

The question is, will you qualify? Do you know the reason why your loan was denied? Was the issue with you or the property, or some other reason that will not be an issue with your new property?

Good luck with your new search...

All the best,
Ros

Roswell Moore, CMPS
Certified Mortgage Planner
480-422-5095 direct
http://www.ezAZloan.com

We are a Direct Lender, Mortgage Bank where we originate, process, underwrite, fund, AND SERVICE our loans, in-house, with FHA (starting at a 580 score AND still only 3.5% down), FHA Streamline refinance loans (NO minimum credit score, NO appraisal required) Go Green rehab loans, HomePath, Investor Friendly (10 financed properties), VA, VA Refinance loans (NO appraisal required on IRRRL loans), USDA loans, Jumbo loans, Conventional loans, plus, we allow Escrow Hold-Backs!
Web Reference: http://www.ezAZloan.com
1 vote Thank Flag Link Fri Mar 22, 2013
Immediately. You should request a denial letter and request a full refund of your earnest deposit/downpayment. Before moving on it would be beneficial to you to understand the reasons why you were denied as most lenders have the same rules. It is most likely a debt:income ratio issue or a credit issue. Work to clear those issues up first so you will be successful in gaining a mortgage the second time around or you risk this happening again.

I am happy to offer my assistance and encourage you to visit http://www.Taylorsellshomes.net

Good Luck!
0 votes Thank Flag Link Mon Mar 25, 2013
thank you very much...your reply is helpful to me as well as others, thanks again.
Flag Mon Mar 25, 2013
Dear May:

Your question is too vague because it all depends on the reason why your loan was denied in the first place. If you want contact me direct and with more details I can give you answers. If the reason you were declined was based on your qualifications, I may be able to give you some advice on how to fix the issue in the timeliest fashion. Either way, good luck!

Sincerely,
Mitchell S. Feldman
Associate Broker/ Director of Sales
Madison Estates & Properties, Inc.
Office: (718) 645-1665/ Cell: (917) 805-0783
Email: MitchellSFeldman@aol.com
0 votes Thank Flag Link Fri Mar 22, 2013
May, you can start looking at any time. There are a few things you want to keep in mind. First, WHY was the loan denied? If its something that has to do with your credit, income or assets, you're likely to have the same issues anywhere else. If the reason you were denied has to do with the property, then obviously it's an issue that only pertains to that house only.

The second thing that you want to consider is that if your loan was denied and you are getting back the deposit from the seller's attorney, make sure you get your check, deposit it and keep a copy of it for the next mortgage application. They'll likely need to source & document any large deposits.

Again, no timeframe in general that applies for how long you need to wait before you can begin searching for a property again. I do suggest that you meet with your Loan Officer and discuss the reasons why your loan was declined. Perhaps it's something that has a fix to it and you can salvage the current deal. If you need a second opinion, I'm always available to meet in our Brooklyn offices. Good luck!

If my response was helpful, consider clicking BEST ANSWER!

Javier Meneses
Senior Loan Officer
NMLS #23130
STERLING NATIONAL BANK
310 Crossways Park Drive
Woodbury, NY 11797
jmeneses@snb.com
(516) 606-9648
0 votes Thank Flag Link Fri Mar 22, 2013
Thank you so very much....it has not be denied ...it just has taking soooo long and its not even a short sale!....but I've heard that no! loan is a done deal until it's closed on. thanks again....for clear! information on the subject.


May
Flag Fri Mar 22, 2013
You should find out why the bank denied the loan, and try to correct the issue. There is no set time limit to start another process.
0 votes Thank Flag Link Fri Mar 22, 2013
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