Nicole Sleeva

Hi Sandy!

Congratulations on the purchase of your new home!

You should be speaking with your loan officer about your interest rate. Be direct and ask why it increased from your initial Good Faith Estimate. There are reasons rates change but it should have been explained to you prior to closing. If you feel like you are getting the run-around, talk with his/her manager and get answers! The difference with the rate and the APR is that the APR includes the rate plus the percentage of fees in relation to the loan. That is another explanation to get from the mortgage company.

As far as your earnest money deposit, look at your Settlement Statement. It should be listed on the first page, line #201. If it is not there, call the title company and find out why. Your Realtor should be able to help you with this too.

If you are still not happy and would like to report your mortgage company, go to http://www.michigan.gov. Follow the tab to "Attorney General" and file a complaint. If you make it known that is your plan of action, you may get better answers from your mortgage company. Good luck to you!

Nicole Sleeva
nsleeva@cbpreferred.com - Tue Jul 1 2008, 07:05

Hi Melissa -

Yes - things add up quickly but if you are working with a Buyer's agent, they should have gone over most out-of-pocket costs. You seem to be educated about most costs, like the inspection and processing fee. Keep in mind, you will also have to put an earnest money deposit with the purchase agreement (to be applied to your closing costs/downpayment at closing) and most lenders will require you to pay 1 year of homeowner's insurance upfront. You will also have to reimburse the seller for property tax prorations. Those figures will depend on the property and closing date. Did your mortgage lender go over an escrow account and prepaid interest? Those are the most common items I address. You shouldn't have to pay any utilities up front but call the providers and double-check, just in case. Good luck to you!

Nicole Sleeva
nsleeva@cbpreferred.com - Tue Jun 17 2008, 15:27

Hi JC -

You need to be comfortable with every step of the process. The Realtor and mortgage lender should be working together to get you the best package for your situation. You have every right to be detail oriented - it is probably the biggest purchase of your life! The reason the lender does a 30 day approval is because the credit report is only good for that length of time. As long as nothing has changed with your credit, you should be fine. Once you find a property and have a purchase agreement in place, the lender will pull your credit again to submit to the underwriter. They don't want to keep pulling it every 30 days because too many inquiries can bring down your credit score.

As far as the closing cost assistance, FHA allows up to 6%. Your Realtor should confirm this amount with the lender. Every property is different (i.e. value, equity, seller's position) so it could depend on the home but in general, 6% is allowed. Hope that helps. Good luck to you!

Nicole Sleeva
nsleeva@cbpreferred.com - Fri Jun 13 2008, 07:24

Hi Ann -

I also may have an owner looking to lease in East Lansing. Send me an email and I will forward the info. Thanks!

Nicole Sleeva
nsleeva@cbpreferred.com - Wed May 28 2008, 19:07

Hi Gerard -

Don't make any repairs yet - you don't officially own the house! Last minute things can happen and if you put your own money into the home, you won't be reimbursed if the deal falls thru. Also, if you think you are getting a good deal, don't re-open negotiations for the additional $2K. There could be other offers waiting and if you open up one end of the deal, it opens up everything else. Congrats on the deal - good luck!

Nicole Sleeva
nsleeva@cbpreferred.com - Wed May 28 2008, 17:01