We sold a home to Buyers who received approval by a mortgage company, and e icommiitment from Countrywide.

Asked by Barbara Mazzella, White Haven, PA Sun Jul 27, 2008

Three hours before scheduled closing, we received word from Title Company -- bank had pulled the loan -- self-employed buyer wi th too high debt to credit ratio. Why wasn't this realized before commitment and scheduing Closing? Never heard of this before. Has anyone had a similar experience?

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Keith Sorem, Agent, Glendale, CA
Sun Jul 27, 2008
Barbara,
Just curious, were both parties represented by a Realtor? In most cases, Realtors know that financing is an issue, and are "on top" of the financing aspect. Although I agree with the first post, it must have been a BIG reason to cancel the funding.

However, as noted, the fact is that the financing end of the transaction has gone through a big shift. Most Realtors would ask for back up financing. a back up lender.
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The Hagley G…, Agent, Pleasanton, CA
Sun Jul 27, 2008
The seller could have opened up another credit line, purchased a car, or created further debt that made their debt to income ratio too high. Lenders are getting more stringent with guidelines...they check, double check, triple check up until loan is funded.
Web Reference:  http://www.cindihagley.com
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