already pre-qualified through another mortgage broker. and home is a fore-closure.
2007-07-17 04:02:58 · 5 answers · asked by Robert B 1 in Business & Finance ➔ Renting & Real Estate
A mortgage company cannot require you to "pre-qualify" through them before you sign a purchase agreement. However, it is the smart thing to do. Is the bank that owns the foreclosure requiring that you be pre-qualified with them before the accept your offer? Sounds like they don't want your money.
2007-07-17 04:42:01 · answer #1 · answered by ? 4 · 0⤊ 0⤋
The mortgage company is not making this requirement. It's at the behest of the seller, and the seller can put in such a requirement if it so chooses.
I suspect that this particular REO lender has been 'burned' in the past by shoddy prequalifications accompanying its offers, and has elected to require all offerors to go through its own prequalification process to reduce the number of 'failure to qualify' offers.
2007-07-17 05:42:25 · answer #2 · answered by acermill 7 · 0⤊ 0⤋
It is actually common practice with new home construction. They can not require you to finance though their bank, but they can certainly require that you qualify under them. There were so many, an amazing amount, of bad loans "approved" of by loan bad loan companies.
The pro-qualification should be noted int he MLS listing, so you know before you even look at the property.
2007-07-17 04:23:32 · answer #3 · answered by Elsa D 6 · 0⤊ 0⤋
yes it is legal, each company has their own credit check methods. Some will check you out more than others. That's what happened earlier this year, when a company didn't check background histories and approved loans for millions.
2007-07-17 04:12:09 · answer #4 · answered by spiritwalker 6 · 0⤊ 0⤋
Yes, and country wide does it all the time.
2007-07-17 10:39:22 · answer #5 · answered by frankie b 5 · 0⤊ 0⤋