We don’t have that kind of cash lying around, so I contacted a few lenders and settled on Shitibank. Up-front from day 1 about the purpose (family member not us, 55+ community).
A month of chasing down paperwork. A week from closing.
And we’re declined because 55+ and not owner occupied.
This is information they have known since late March.
We’ve jumped on every paperwork request they’ve sent, even the ridiculous ones like “this document doesn’t have the name AND the property on the same page so it won’t do”. At one point I got frustrated and said “if the underwriters don’t want to write this loan, I wish they’d quit wasting my time and yours and SAY SO”.
We have the income. We have the credit rating. We’re in all other ways absolutely qualified for this loan. I understand their unwillingness to lend on a 55+ property that is “investment”. And if they’d told us up front that this was their policy, that would have been fine.
But god DAMN it, don’t sit on that information and pull it out of your pox-ridden asses at the last minute and use it to trump a month and a half of wrangling and paperchasing, you MOTHER-RAPING SCUM-SLURPING BASTARDS.
What a bunch of pricks!
Sorry for all your aggravation! What a drag! But rest assured if you have the income, credit rating, etc, someone will make you this loan, I’m confident.
Doesn’t mean they are not pricks for wasting every bodies time, of course. But I don’t think you’ll be stymied so much as delayed. Unnecessarily, of course.
Report them for what, though? What they did sucks, but I’m sure they will chalk it up to miscommunication. I don’t think any regulatory agency is going to care very much that they denied a 3rd party loan, to be honest.
Pitting Citi (or Chase or BoA or etc.) is really grabbing low-hanging fruit. They suck for consumers, they know they suck for consumers, and they don’t care that they suck for consumers. Usually better to try the more consumer friendly smaller lenders - less likely to leave you high and dry at the closing table because they actually want your business.
We’ve been with our credit union for nearly 25 years. (FTR, I’m Mama Zappa’s husband.) They told us that they do not make home loans on investment property in the state my parents live. Question answered immediately, bang zoom done, no huhu. We looked for other lenders. We were 100% honest and up front with Shitibank. If they had been just the littlest bit honest or up front with us we would have known to do something else six weeks ago. Instead the oedipal caprophagic microcephalic scumbag bastards pulled our chain for six weeks.
Do don’t know it yet but you’re lucky. They are creatures of darkness, they are the spawn of evil and greed. You don’t want them to get their tentacles on you.
Mama Zappa, please file a complaint with the newly created Consumer Financial Protection Bureau. I’m serious. That’s what it is for. If we don’t complain, things will never change.
Because exceptions to criteria mean added paperwork. For a smart lender, he’ll tell you your application is a non-starter but will find a way to justify it with the credit committee. The only reason they want an owner occupancy is the belief you want to hold on to the property since you’re settled in. Counter this with putting in a bigger down payment than required. There you’ll want to hold on to it. Your 55+ family member is not the borrower. It’s you, so that was a stupid assessment.
All I can say is, that really sucks. Especially because, by one week from closing, you were undoubtedly getting ready to roll, to do all the stuff you can’t do until after you’ve signed 73 pieces of paper, whether it’s moving your parents in, or doing a bunch of stuff to prep the place for moving your parents in.
Even if postponing closing and finding a new lender doesn’t turn out to be that tough (and I hope it isn’t), it really takes the wind out of your sails.
Good luck, Mama Zappa and Typo Knig, and hope your next lender isn’t as Shiti.
