You know that sick feeling you get when

[bigben 0]

The bank royally f*cks you in the arse? So I'm buying a house. The bank tell me,
"yeah, no problem Ben, we'll give you a home equity loan to cover 15% of the deposit"
"OK, great, what's the rate"
"4.5%"
"Fantastic, I'll remove the loan contingency on my offer"

While signing the documents one day before closing

"um, why does it say 9% for the home equity loan"
"oh yeah, that's what it is, and we had to work really had to get that"
"#$%@$$$#@@@!!!"

Since I've removed the contingency, I'm have to buy the property.

wankers

-Ben

[BoobieCootie 0]

9%?!

Dude! That's extortion! And unless you've got really really bad credit, then the bank could have and should have just turned you down from the beginning.

Which bank is this?

[mouth 0]

Call up the person you talked to and ask for an explaination. That does not make sense when rates are at an all time low.

Sorry to hear they are messing with ya hon.

--
Hot Mama
At least you know where you stand even if it is in a pile of shit.

[Deuce 1]

You huge goofus!

They're not f*cking you, their examining you!

SWM, Employed, not gay, secret agent English accent, living in a high rise in San Francisco with a view, seeks female companionship for meaningless explosive interpersonal exchanges...

We're not going to see you for weeks at a time.

Pay the money. I live vicariously through you.

[bigben 0]

Quote

9%?!

Dude! That's extortion! And unless you've got really really bad credit, then the bank could have and should have just turned you down from the beginning.

Which bank is this?

Well, I've got good credit, in the 700's, but I don't have much of it. So I could understand them giving me a hard time, but at this late stage? If they'd told me 9% to start with I'd just have walked. It's wells fargo.....

Cheers
-Ben

[jtval 0]

dude at the rates you could have now 9% is robbery....I suggest you go in with a gun and do what they are doing to you.....

or should you bring a dildo instead!

My photos

My Videos

[BoobieCootie 0]

Wells Fargo My mortgage is with Wells Fargo. But it sure sounds like it's Smith & Wesson at 9% (sorry, couldn't resist).

Check this out. You might be able to make a case with WF or maybe even go shopping. Also check out Washington Mutual. I've heard good revs about them with home loans.

edit: Also check out Citibank. They're cool w/ home loans but cold with consumer credit. And ignore what JTVal said about using a gun or a dildo. Especially when you go to Citibank on Market St - I read on SFGate.com they got robbed recently

One other thing - I miss SF I used to live there for 6 years while attending Golden Gate Univ on 536 Mission

[Deuce 1]

Do you have to use Wells Fargo because of the developer?

I'm on my third mortgage with Countrywide, I heartily recommend them. Ben, you can always roll that second into a refinance once you own the property. With the plan you were talking about with me, that might solve your problems. That second is always going to be at a higher rate than your first mortgage.

Check these out.
http://www.countrywide.com/RetailLoans/Purchase.asp

Bail on Wells Fargo if you can.

JP

[jlmiracle 7]

The Fannie Mae 30 year commitment rate closed at 5.45 today. If you have good credit, you should not have to pay much over that, depending on points.

9% is really really bad. Also, your home equity loan should be closer to 4.25%.

Judy

Be kinder than necessary because everyone you meet is fighting some kind of battle.

[bigben 0]

Thanks for all the advice everyone. Not sure what I'll do yet. Just to recap, my first mortgage is at 5.25%, it's only the equity that's at 9% (yeah, I know *only* the equity). Jeez

I put it down to coming from a country founded by France in 1066.

-Ben

[Deuce 1]

You British people with your silly, thorough educations.

Britain or France in 1066? God, they didn't discover America in 1066 did they? I memorized that "In 1492 Columbus sailed the ocean blue" thing for nothing!!

Damn! Damn! Damn!

[lazerq3 0]

Thats a huge thing people dont realize is that your rate is based off your credit!!! Peolpe think that becuase the rate is so low they automatically get that .......and then its DOH!!! Thats sucs though at 9% ....I mean I can see bad credit at that but just not a lot of credit at 9%.... that doesnt seem right!!! we recently sold our home and the couple buying it had bad credit but were still able to get 6.7%!!!!

jason

Freedom of speech includes volume

[mouth 0]

I recently refinanced my house, rolled two vehicles into it and paid off my credit cards for the 5%rate for 15 years. I've never heard of them putting the equity into another category. I also used Countrywide and never have a problem.

I still say you need to research it further.

--
Hot Mama
At least you know where you stand even if it is in a pile of shit.

[Michele 1]

Ben, if your ficos are in the 700's, it doesn't matter how much credit you have. You should not be paying that for the equivalent of a 2nd mortgage - the reason you've split it in the first place is to avoid the PMI banks tend to charge. If I'm reading correctly, it's an 80% first, 15% home equity, with 5% down and closing out of pocket?

Why did you go through a direct lender, and why were you not given a schedule "Z" (I think that's what it is), which is a good faith estimate upon approval of you ( not approval of the property?) If you were not given that, there may be some things you can do (which may not allow you to leave the contract, but may buy you some time to get other financing...). Any other contingencies left? Appraisal? Physical?

Also, what stage are you in? Did you sign loan docs? Who's your realtor? Why are they not on top of this?

PM me with details....there may be something we can do...that's a really high rate.

(edit: I just re-read your original post - you've signed docs....did you get a good faith estimate within 3 days of your application? That will become very important....)

Ciels-
Michele

~Do Angels keep the dreams we seek
While our hearts lie bleeding?~

[BoobieCootie 0]

On the way home, I saw a billboard on the side of a bus for home equity loans by none other than... Wells Fargo! And what were the numbers? 5.74%

Boy if I had me camera...

[airtwardo 7]

Quote

Wells Fargo My mortgage is with Wells Fargo. But it sure sounds like it's Smith & Wesson at 9% (sorry, couldn't resist).

Check this out. You might be able to make a case with WF or maybe even go shopping. Also check out Washington Mutual. I've heard good revs about them with home loans.

edit: Also check out Citibank. They're cool w/ home loans but cold with consumer credit. And ignore what JTVal said about using a gun or a dildo. Especially when you go to Citibank on Market St - I read on SFGate.com they got robbed recently

One other thing - I miss SF I used to live there for 6 years while attending Golden Gate Univ on 536 Mission

I wouldn't rush to Wash Mut,
Had some things come up at closing similar to the extortion BigBen is seeing..."oh sorry we must have miscalculated" ...and " It's a jumbo because the one we were trying for is no longer available"
Check out ABM...we have 2 rental houses with them and so far so good!

~ If you choke a Smurf, what color does it turn? ~

[dbattman 0]

9%? I'm in the process of preapproval myself. 80% 5/1 ARM @ 4.625, 15% HELOC at prime+2. Course, I didn't get the house I wanted so i'm still looking and will probably end up reapplying when the lock expires.

[bigben 0]

Quote

Ben, if your ficos are in the 700's, it doesn't matter how much credit you have. You should not be paying that for the equivalent of a 2nd mortgage - the reason you've split it in the first place is to avoid the PMI banks tend to charge. If I'm reading correctly, it's an 80% first, 15% home equity, with 5% down and closing out of pocket?

Why did you go through a direct lender, and why were you not given a schedule "Z" (I think that's what it is), which is a good faith estimate upon approval of you ( not approval of the property?) If you were not given that, there may be some things you can do (which may not allow you to leave the contract, but may buy you some time to get other financing...). Any other contingencies left? Appraisal? Physical?

Also, what stage are you in? Did you sign loan docs? Who's your realtor? Why are they not on top of this?

PM me with details....there may be something we can do...that's a really high rate.

(edit: I just re-read your original post - you've signed docs....did you get a good faith estimate within 3 days of your application? That will become very important....)

Yeah, I did get the good faith, which had the HELOC at 4.5%, I shouldn't have signed the docs, but I've got this flu that's going around and was messed up on nyquil! I think my best bet is probably to re-finance the HELOC once I've closed. Of course all of this is complicated by the fact I'm not a permanent resident yet.

Cheers
Ben