Ask Your Question

Angie's List Answers is the trusted spot to ask home improvement and health questions and get answers from service companies, health providers and consumers. For ratings and reviews on companies in your area, search Angie's List.

 
 
or
Submit
Top 30 Days Experts
Rank Leader Points*
1 kstreett 240
2 Guest_9020487 110
3 Guest_9190926 105
4 GoldenKid 100
5 ahowell 95
6 KnowledgeBase 95
7 skbloom 80
8 Guest_98024861 70
9 Guest_9311297 70
10 Guest_9400529 70

*Updates every 4 hours

Browse Projects By Category

Question DetailsAsked on 3/30/2014

What would happen if I switched from a current mortgage lender and went with another?

I just started the process with a current mortgage lender. I paid to start the loan process, they've pulled credit and I've sent documents, but now I have found someone with lower rates and fees. What ramifications would there be if I switched lenders? I have to close 26 days from now

Do you have the same question? Follow this Question


1 Answer

0
Votes

Sets the clock back to zero time. You cannot "switch" the case to another lender - you would have to cancel out this application, pay/lose any mandatory fees for the time and effort they put into it - probably some hundreds of $, then start over with the new lender with the application and credit check and so forth. If this is a refi you would have to compare how much the present value of the lower rate is against the cost to bail out of the current application to see if worth it to you.


If a new purchase as it sounds like, talk to your Realtor - 26 days is VERY tight for getting a loan approved from scratch, by a month or so probably, so you risk being in breach of contract and losing the house and the purchase contract deposit and the loan application fees and some closing agent costs at this point - andpossibly some fee payment to the Realtor too, since thhis is not due to conditions beyond your control. I would say it is a no-go - the time to be looking for better rates was before you first applied for the loan, not afterwards.

Answered 6 years ago by LCD




Related Questions


Terms Of Use
|
Privacy Policy