Sky Minor

As a mortgage broker, I would be incensed but also extremely motivated to bring you the deal first. Brokers are doing this all the time for you anyway, that's their job. The reality though is that loans are like gasoline-pretty much the same price everywhere. That's because they all go to the same two places-Fannie Mae and Freddie Mac. Most lenders are selling the loans to these two places eventually so they are underwritten with the same guidelines.

As a real estate broker, I would encourage a buyer to double-app (That's the insider's nomenclature) or even triple app. You are absolutely correct with loans failing now randomly, and at the worst possible time. (Like after the loan docs are signed and all contingencies waived). Lenders are terribly shaky these days, no matter who they are.

They built into the system a default way against borrowers doing this shopping. Through HVCC appraisal guidelines, the lender orders the appraisal (Lender as in, not the person taking your application even if it's a bank). That appraisal cannot be used with any other lending institution. (Disclaimer-it is "possible" to get an appraisal re-used per guidelines but this author has never seen or heard of it done.) Each appraisal is usually $350-$400 so there is a serious deterrent from double-apping built in. (As a side note-you can sign a petition to end this wretched HVCC legislation here-

http://www.petitiononline.com/hvcc/petition-sign.html

So if you really want to do it, I think that it is a safe bet to double app. Unfortunately you're going to pay to do it.
Good luck. - Sat Dec 26 2009, 23:47