Fannie Mae wants to charge me Re-entry key lock change for 125 dollars. is this legal ?

Asked by Debby, Fitchburg, MA Tue Apr 12, 2011

I am closing on a condo. and fannie mae want to charge me 125 dollars for Re-entry key lock
change. Is this legal ? Why 125 dollars, isn't it a rip off ?
any suggestion. Thanks

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12
Rich Homer, Agent, NAPLES, FL
Tue Apr 12, 2011
Debby, sometimes getting a good deal means putting up with small inconveniences. Yes legal. Enjoy your new property.
1 vote
Judy Boyle, Agent, Marlborough, MA
Tue Apr 12, 2011
Hi Debby,

With Bank Owned properties, this is very common. The original listing should have disclosed this "re-key" fee however. Ask your Buyer Agent but I am pretty sure you will still have to pay this fee.

Good luck!
1 vote
scott farmer, Agent, Scottsdale, AZ
Tue Apr 12, 2011
I agree that the price is inflated as my locksmith only charges me $55 dollars. However, if you read your contract you will see that this was disclosed up front that the bank would perform this service at your expense and you agreed to it when you signed the contract so, yes, it's legal. Look on the bright side that it's at least one thing less you'll have to do on your own and you can have comfort in knowing the key is not longer on a master lock system so the property is going to be secure for you at time of closing.
1 vote
This fee is RIDICULOUS!!!! Its something that anyone who can turn a screwdriver can do in less than 10 minutes for MUCH MUCH LESS MONEY. Its total BS. I just found out about this "re-key" charge as well on a house I just wrote an offer for. My experience with three relatives who have bought bank-owned houses and they weren't charge this "re-key" fee.... I even saw the listing agent stopping by afterwards to pick up the keys for their "master lock" system and the lock box after closing.
Flag Thu Feb 7, 2013
calesta, Home Buyer, 99156
Tue Mar 18, 2014
They are charging me 200 and came and put a lock on the garden shed (which only had a regular door knob) but no keys for the house as it has sliding glass doors,(with locks) so now I have a house with no keys to get in. Is this legal?
0 votes
Luiscamposma…, Home Buyer, Tracy, CA
Wed Jul 17, 2013
Wait!!! All this looks very bad!!! Shame on you guys for supporting this type of practices. When Fannie Mae got possession of the house it was their responsibility and best interest to change the locks. Now as a buyers of course is my interest changing the lock but with me present and tossing the keys just to me, not Fannie Mae, not the agents.
0 votes
Wayne Olson, Agent, Portland, OR
Sat Jan 28, 2012
Hi Debby,

As others have said, yes, this is legal and standard practice on a foreclosed home. Moreover, the Fannie Mae Purchase Addendum that you signed notifies you of the rekey and subsequent charge. Your realtor should have notified you of this charge when reviewing the purchase addendum with you.

For Fannie Mae, as the current owner of the property, rekeying all exterior doors removes liability on their end by preventing others (in particular, the previous home owners) from using previous master keys to enter the property after closing.

Good luck, and enjoy your new condo!
0 votes
Benjamin, Renter, Woodmere, NY
Mon Jan 23, 2012
Entry locks are very important for the safety of the house and your family so i suggest to purchase this entry lock despite the steep price.
0 votes
Jennav, Home Buyer, Redlands, CA
Sun Dec 18, 2011
They charged me $150 and gave us only 1 key for 3 door changes and left it by itself on the meter reader......looking into why just one key. My inspector said they should be at least 2 keys, going to change locks again. Did i mention the same contractors they hired were suppose to fix smoke alarms well they did alreight and left black grease stains on the walls and alarms AND THERESNOTHING WE CAN DO ABOUT IT.
0 votes
Janet and Er…, Agent, North Attleboro, MA
Wed Apr 13, 2011
Unfortunately this is one more way they (the mortgage owners) seem to be trying to re-coup the money they have spent. It should have been listed in the disclosures that there will be a $125 re-key fee. It is becoming more common probably due to the amount of foreclosures. Last year it was unheard of, but then again last year most banks were willing to do Title V. Not so much anymore. If you got a good deal just chalk it up to the cost of doing business. And we would suggest you change the locks again anyway. Good Luck!
0 votes
Pam Bava, Agent, Rochester, MI
Tue Apr 12, 2011
Yes, they do and you will probably pay it if you want the keys unless your contract says something else. I figure they had to send someone out there to re key it so they want some reimbursement.
0 votes
Heidi Zizza, Agent, Framingham, MA
Tue Apr 12, 2011
Yes Debby that is standard practice and it legal.
0 votes
BG, Home Buyer, Phoenix, AZ
Tue Apr 12, 2011
they charged me $150 and they left new key on top of the electrical box for days .. how stupid is that ?

I had to tell Title to find out who will change out the lock and how to deliver the key to me (and they still messed it up and couldn't find the key) ..... I had to rekey again for another $150. How stupid is that ?????
0 votes
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