And you thought AMCs were bad. Try to Refi and meet Scam Mortgage Brokers, times 3!

[Mejappz]

I'm supposed to sign with my closer this Monday after a couple of cancelations. Company is Loan Depot. I can only assume the pandemic is causing havoc with their operations. Worst underwriting experience I've ever experienced. The process has taken 107 days as of today which is Saturday morning. Despite having told them upfront my estate is in a trust it took them 90 days to actually figure that fact out after numerous nonsensical, illiterate questions sent my way. They kept asking me to provide proof that I do not own a couple of properties that I clearly do own. Absolutely bizarre. Still, I'm getting a cash out refi at 2.875% which to me, at 67 years of age, is astonishing. Money will be used for rental renovations down the road.

And yet they want the appraisal back in 48 hours.

I received a high-dollar property from loan depot a month ago. I told them my fee and turn time.

AMC and loan depot took three weeks trying to find someone to do it for less. They finally did.

 

[Joe Flacco]

All the banks are in bad shape because they were laying people off in 2019 when the 30 year fixed was hitting 5%. Then the rate dropped to new lows pretty quickly. They caught on the wrong foot.

 

[Chandler]

All criminal enterprises. Try a local credit union or bank.

Yep, my mortgages on the primary residence and all of the rentals except a couple are through credit unions. I haven't ever had a problem like the thread starter but all are paperwork intensive.

 

[Charles West]

Charles,
I've had the same issues on other property ownership. My purpose was to update/remodel, which I use to think was a good thing encouraged by lenders. On the age thing, I thought lenders could not discriminate because of the age of the applicant. I'd like to think I have the same rights as other people regardless of my age, gender, or race.


FTC:

"Mortgage Discrimination

Mortgage discrimination is against the law. That’s important to know if you’re thinking about applying for a mortgage to buy, refinance, or make improvements to your home.

If you’re in the market for a mortgage, the Federal Trade Commission recommends you research the different types of mortgages and available rates, as well as laws that protect you from discrimination. Here’s some information to help you get started."

DOJ:

"The Equal Credit Opportunity Act

The Equal Credit Opportunity Act [ECOA], 15 U.S.C. 1691 et seq. prohibits creditors from discriminating against credit applicants on the basis of race, color, religion, national origin, sex, marital status, age, because an applicant receives income from a public assistance program, or because an applicant has in good faith exercised any right under the Consumer Credit Protection Act.

The Department of Justice may file a lawsuit under ECOA where there is a pattern or practice of discrimination. In cases involving discrimination in home mortgage loans or home improvement loans, the Department may file suit under both the Fair Housing Act and ECOA. Individuals who believe that they have been the victims of any unfair credit transaction involving residential property may file a complaint with the Department of Housing and Urban Development [HUD] or may file their own lawsuit."

They aren't discriminating on any basis other than possibly age. They are making a decision based upon a swirling stew of economic factors, both present and in the future, that will buttress the likelihood they will earn a return on their investment. It's about that simple. You also have the age thing which relates to the likelihood you will repay the loan and that is factored into the looking into the future thing. I don't blame them for being prudent.

 

[Charles West]

And yet they want the appraisal back in 48 hours.

I received a high-dollar property from loan depot a month ago. I told them my fee and turn time.

AMC and loan depot took three weeks trying to find someone to do it for less. They finally did.

I paid $495 for the appraisal. It was a form-filler report for a fairly complex residential single family. I forgot now what the guy said he did, something like 80 a month if I'm not mistaken. Wasn't impressed with that one for all the reasons we know plus the guy was probably about $200K shy of the actual value. This guy was with Solidifi or whatever it was.

 

[Chandler]

I paid $495 for the appraisal. It was a form-filler report for a fairly complex residential single family. I forgot now what the guy said he did, something like 80 a month if I'm not mistaken. Wasn't impressed with that one for all the reasons we know plus the guy was probably about $200K shy of the actual value. This guy was with Solidifi or whatever it was.

I think you got a good deal. Loan Depot has been paying $600 in AZ (Not through an AMC).

 

[Charles West]

I think you got a good deal. Loan Depot has been paying $600 in AZ (Not through an AMC).

Yeah, report was bad but works anyway.

 

[Alsie35]

I paid $495 for the appraisal. It was a form-filler report for a fairly complex residential single family. I forgot now what the guy said he did, something like 80 a month if I'm not mistaken. Wasn't impressed with that one for all the reasons we know plus the guy was probably about $200K shy of the actual value. This guy was with Solidifi or whatever it was.

Loandepot has been paying $700 per direct lender order in my area (which includes Sacramento) since the beginning of this year. So the damage could have been worse. (Its helped us to "pad the roll" for our imminent exit from the People's Republic. )

 

[Charles West]

Loandepot has been paying $700 per direct lender order in my area (which includes Sacramento) since the beginning of this year. So the damage could have been worse. (Its helped us to "pad the roll" for our imminent exit from the People's Republic. )

I sometimes wish to flee as well.

 

[Alsie35]

I paid $495 for the appraisal. It was a form-filler report for a fairly complex residential single family. I forgot now what the guy said he did, something like 80 a month if I'm not mistaken. Wasn't impressed with that one for all the reasons we know plus the guy was probably about $200K shy of the actual value. This guy was with Solidifi or whatever it was.

Which means that this appraiser got paid between $350-$400 for the appraisal as the AMC would have pocketed about $125 off the $495.

So he got about $100-$150 LESS than he should be getting paid in this market.