Real estate and loan question. plz help?
Tuesday, 4. May 2010
Hi all, we are going to buy a house in san jose.last week our agent told us you are preapproved you can give notice to your landlord that you are moving in 30 days. yesterday he came and says your loan is not approved and we have to put 25%down instead of putting 10% and also the loan gonna be under her wifes name now and property going to be under my name and his wife name.(he’s trying to help us) b’coz of the credit score i have (625 my scores) right now we can give him only 75,000 he sais he has a 40,000 credit line he can give us to use for 6 months and we have to pay interst on that and after 6 months we can get equity on our house and pay him his 40,000 and then we have to pay that IR to the bank for equity. plz guide me can we go for that ot no. thanks in advance.
Boomaloha Says:
danger danger danger. Have you called and talked to a mortgage broker outside of the influence of your realtor? This guy sounds like a classic bait and switch guy. Also, be careful using HIS wife to be on your title. That gives them a stake in your property. I would run like my testicles were dipped in turpentine!!!
Katasha Says:
Definitely a bad idea, it sounds to me like he’s just using you all for his own advantage. He’ll get the commission on the real estate sale, then in six months when you can’t afford all of the payments, he can put a lien on the property, possibly get you taken to court and evicted, and get a judgement against you for the $40,000 if you can’t qualify for the additional home equity loan to pay that back. This isn’t a good situation at all for buying a house. I’d tell him no thanks, keep renting and work on getting your credit score higher so you can take care of all of the financing on your own with a down payment you can make on your own.
Dave W Says:
I’m not sure I completely understand this, but it sounds like a very complex setup and alarm bells are going off in my mind that this could be a scam to cheat you out of money.
If you are saying that the real estate agent’s wife is going to be listed as co-owner of the property and the loan will be in her name, that does not sound like a normal transaction to me. Of course, I’ve never lived in California, so with the ridiculously high home prices there, I would guess there are some very creative schemes for getting people into houses.
I’d be very cautious about this type of transaction and would recommend that you not agree to anything or sign anything until you get an independent lawyer (i.e. not one that the real estate agent recommends) to look at this and explain the possible consequences. It sounds pretty suspicious to me.
ed_callin2000 Says:
Scam Alert.I’d gladly give you tips on how you can have that fixed.
I am busy now.Lets talk later drop a mail
ed_callin2000@yahoo.com
Yanswersmonitorsarenazis Says:
Please listen to the answers on here. This all sounds terribly frightening.
You should actually be reporting this to the CA Dept. of real estate. Here’s their link: http://www.dre.ca.gov/
This whole setup sounds like fraud, as far as the lender is concerned, and is quite possibly an attempt to steal your 25% downpayment. You put 25% down on the home, you will likely NOT be put on title at time of closing. If you aren’t, how can you force them to later?
Call the state regulators right away.