not be released until July 31. I already applied for loan June 29, so lock expires July 30...before they want to disburse loan and transfer keys. Now they're saying they have permission to disburse loan on July 30, but we still will NOT get keys until July 31. Is this legal? What are our options?
2007-07-18 19:09:18 · 8 answers · asked by bluehonu13 2 in Business & Finance ➔ Renting & Real Estate
This is a brand new home from a builder and there is no close date in writing in the purchase contract. We were told the close date over the phone several weeks after signing. There is no recession period in Az and the loan should fund the same day.
2007-07-18 19:25:19 · update #1
Recession has nothing to do with whether or not your loan funds or not. They are not related.
Go to your salesperson and tell them that your lock expires on the 30th and you expect to close AND get the keys on that day. There is no reason why you have to wait 24 hours to record...just close in the morning and that should eliminate that concern for everyone if they are going to be that paranoid about it. You have no idea of who will be in the house or have access to it between the time you sign your paperwork and when they get around to handing you the keys.
Never, ever close on loan unless you walk away from closing with the keys. You will be PAYING INTEREST starting on the day your loan closes...not when it funds. So get what you pay for.
Did you go with DR Horton's preferred lender? If you did, that is added ammunition. Funds should be sent by the lender the morning of funding....and the attorney cannot collect the wire until they get a confirmation number from the lender, and the lender only gives that once the final signed HUD is faxed over.
Who is giving you the closing date? If it is the on-site sales person, then a conversation with the sales manager is in order. You need to get the real story of what is happening with your home.
2007-07-18 23:17:37 · answer #1 · answered by Expert8675309 7 · 1⤊ 0⤋
In your scenario, July 30 is the day your loan FUNDS. This is the day that the money is transferred from the lender to the escrow company. As long as you fund by the date of your lock expiration, you will be just fine (and usually lenders will extend the rate if needed).
July 31 is the day your loan RECORDS. Between the time your loan has "funded" and the time it "records", escrow and title are making sure all the funds are in place and getting the deed of trust to the courthouse to record. The home is not technically yours until the deed of trust is recorded (so please do not break in as suggested above - lol!!). The deed of trust is usually recorded the day after funding.
And since this is a new home and you are not waiting for a seller to move out, there should not be a longer waiting period than that.
You may ask the builder (and probably your mortgage broker) why they are not able to fund earlier. If all things are aligned, they may be ready a day or 2 earlier. If not, just sit back and be patient ... in today's market, they all want to close as bad as you do.
Hope this helps!
2007-07-19 02:38:48 · answer #2 · answered by LoveMyKids! 2 · 1⤊ 1⤋
Most purchase transactions do not deliver the keys at closing. The mortgage not only needs to fund but it needs to record as well before keys are given in most situations. Depending on the time of closing, the loan may not record or fund until the following day. Most purchase agreements also list closing as being on or before a specified day and possession and transfer of the keys to be on a different specified day. This gives the seller time to move their possessions, make sure the transaction goes through and time to close on their new home as well. Therefore, yes it is legal and you need to make sure you read the purchase agreement to see what it states about the dates of closing, obtaining your keys and transfer of possession. Good luck.
2007-07-19 02:21:50 · answer #3 · answered by dzwreck 4 · 1⤊ 2⤋
They told us the same thing. But our situation was worse because they made us wait 3 weeks after our original move in date before actually moving in. Ridiculous.
For the price we paid for that home, I would've expected better service. Every single person we met through DR Horton was unprofessional.
2014-09-11 20:49:14 · answer #4 · answered by warrior 1 · 0⤊ 0⤋
Once the title is in your name, you are entitled to the keys, and have every legal right to break into the house and change the locks if the keys are not delivered. To fail to deliver the keys is malpractice, and can be reported to appropriate disciplinary authorities.
Postscript: Previous responses are on point. If a three-day rescission period exists, you are not officially on title until the title is recorded, which will happen after the three day period has elapsed.
2007-07-19 02:19:32 · answer #5 · answered by Anonymous · 0⤊ 3⤋
It is legal, when you sign your purchase agreement, it should state that this could happen, it usually happens more often if you go with an outside lender, rather then there lending company. I remember this was explained to me when I purchased my home. Which was a Centex home in AZ as well. Good Luck, and congrats on the new home.
2007-07-19 02:16:58 · answer #6 · answered by Anonymous · 0⤊ 2⤋
Don't worry the close will be in time the keys are 3 days later because you have time to change your mind. They don't want people moving in before it has time to be legal. The seller may need a couple of days to move out if it is a used house.
You will still get your rate, they just won't need an eviction if you rescind during your escape period.
2007-07-19 02:16:32 · answer #7 · answered by shipwreck 7 · 0⤊ 3⤋
You have to go by whatever it says on your contract or Purchase Agreement.
2007-07-19 02:12:02 · answer #8 · answered by Anonymous · 0⤊ 1⤋