MrS.Marshall…, Home Buyer in Chicago, IL

I'm interested in a REO property that's owned by BOA and my agent said that I could only be financed throuhg them to buy their property is

Asked by MrS.Marshall:), Chicago, IL Sun Nov 13, 2011

this true?

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6
Anthony Cava…, Agent, Channahon, IL
Mon Nov 14, 2011
BEST ANSWER
Get qualified through a lender of your choice at the same time so you don't have a delay that can be costly. Don't bother telling BOA that you won't use them until after you have a contract. Just call the BOA loan officer (they most likely have a specific contact listed) and tell them you need as preapproval for the property. Yes, the more times your credit is run you may start seeing an affect on your score. I have had clients not offer on BOA properties for this reason.
1 vote
Suzanne Hami…, Agent, Orland Park, IL
Sun Nov 13, 2011
Yes - you have the right to get financing from whoever you want and will finance you or pay cash. Sometimes, when offers are presented, the seller wants you to be preapproval with their lender, but they can't make you do that. They usually just want to make sure they are not wasting time with someone who is preapproved from an unreliable lender. The only way is if you would be assuming the mortgage and that is rarely done and as far as I know never done on REO properties. If they want you to go with them - what kind of rate and fees are they offering you? But no, you don't have to do. You may want to ask them their rates and fees though and shop around. Just don't shop on the internet, get a company that is alive and well and you know them. I use Guarnteed Rate, Wells Fargo, Prospect Mortgage and Home Savings of America. I would ask your agent more questions about this so you are both on the same page.
1 vote
Earick Raybu…, Agent, Chicago, IL
Sun Nov 13, 2011
You do need to be pre-approved through Bof Amer to purchase their REOs if you're seeking a loan. You don't have to use Bof Amer as your lender to ultimately finance your purchase. I believe your agent meant it this way.
1 vote
Anthony Cava…, Agent, Channahon, IL
Sun Nov 13, 2011
No. Your agent doesn't know what he/she is talking about if that's what was said. BOA probably does require you to be preapproved through them to get under contract, but you can use whomever you want for the financing after that. This is typical for a number of banks selling REO's. You might want to see if your agent is willing to bring in another agent from the same office that has more experience to help with your transaction.
1 vote
MrS.Marshall…, Home Buyer, Chicago, IL
Mon Nov 14, 2011
Thanks,Tony! I have fiiled out the pre-approval application for BOA and wiil wait for them to respond as well as got another pre-approval through PrimeLending. The only reason I 'm willing to deal with them(BOA) is because I like the house,but if it's not for me I'm content.With that being said ,that would just mean on to the next one.
0 votes
MrS.Marshall…, Home Buyer, Chicago, IL
Mon Nov 14, 2011
Thanks everyone for the fast responses! So just to clarify, what you guys are saying, I have to get pre-approved through BOA (for them to even consider my offer)and then before closing get qualified through another lender of my choice? If this is true, does this means that I should be talking to BOA and my lender of choice at the sametime or do I get pre-approved by BOA and tell them upfront that I dont want them as a lender(I have watched their reputatuion decline through the media so that is why I dont want to deal with them)? Lastly,I have another question all of these inquries (for pre-approvals)are not going to affect my fico score are they(I'm at a 643or650)?
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