Posted by Max-Va on June 16, 2006 at 08:34:02:
Sad but true
there is good and bad in every business, just weeding out the bad ones is hard sometimes.
House Offer turned down because of type of loan - Posted by Kathy Titus
Posted by Kathy Titus on June 14, 2006 at 12:16:52:
I’m a first time home buyer, my broker and loan officer decided that a NINA loan would be best but, my offer was turned down because the realtor listing this house didn,t know what a NINA loan was. Is this legal?
Re: House Offer turned down - Posted by Natalie-VA
Posted by Natalie-VA on June 15, 2006 at 08:18:03:
Kathy,
I’m with Max on this one. The contract should have stated “conventional financing”. I’m a RE Broker and don’t think a NINA loan is risky. Usually, the borrower has a high credit score (like yourself).
Was your offer refused in competition with other offers?
If there are no other offers, I would talk with your agent’s broker and ask them to talk with the other agent’s broker. This sounds like a matter of the agents not understanding something and being afraid of what they don’t understand.
And, yes, you can discriminate against someone for their loan type. Nothing illegal about it.
–Natalie
Re: House Offer turned down of type of loan - Posted by Max-Va
Posted by Max-Va on June 14, 2006 at 23:00:59:
I am confused here. Where did it specfi in the contract the details of the loan? This is not in the Virginia contract the agents use only the type of loan; FHA, VA, Conventional. That should have been all the listing agent sees plus the pre approval letter, which should not have showen the details. These details are covered by privicy act I believe.
House Offer turned down because of type of loan - Posted by Bill H
Posted by Bill H on June 14, 2006 at 20:47:55:
I’d get me an attorney and file suit for specific perfromance immeditely!.
Every contract that I have ever seen says that “Buyer (NOT SELLER) shall apply for loan,.etc…and if unable to qualify the contract may be voidable.” If all you say is correct, you applied, have the funds available and yet you the BUYER are being refused by the seller who IHMO has no right to intefer with your loan.
Re: House Offer turned down-loan type - Posted by dealmaker
Posted by dealmaker on June 14, 2006 at 14:56:03:
It’s probably legal. I’ve been at this for almost 30 years and I don’t know what a NINA loan is. Did YOUR broker and loan officer include an attachment explaining to the seller/and his agent what a NINA loan is, if there are any (or no) additional costs to the seller, are there longer than expected closing times with this type of loan, etc, etc?
Every listing agreement I’ve ever seen shows the seller’s requirement for how the sale is to take place, Cash, FHA, Conventional. No one goes into a listing saying they’ll sell VA because it imposes extra costs (and time usually)on the seller. Maybe your loan would do the same.
dealmaker
Re: House Offer turned down of type of loan - Posted by Kathy Titus
Posted by Kathy Titus on June 15, 2006 at 12:41:03:
Thank You for your reply! The type of loan was on the contract, but the listing agent called my loan officer and asked about my loan, he explained, and her ignorance stopped me from getting this house, even though I WAS APPROVED for the loan, GUARANTEED!
Re: House Offer turned down - Posted by BTL
Posted by BTL on June 16, 2006 at 12:38:02:
Bill
O.K., just read River City’s answer, that NINA is no income no asset. In my region we called those just trust me loans, and preapproved or not, they had a history of not funding and I would tell the seller to accept some other offer, or restructure the deal so if the deal goes south the seller will be reimbursed. I don’t think the sellers agent made an error here, unless the chance of receiving other offers is remote.
BTI
Re: House Offer turned down - Posted by BTI
Posted by BTI on June 16, 2006 at 12:19:19:
Bill
Just agreement with Natalie, there is no contract so no grounds for specific performance. And no state has a law requiring a seller to accept any offer, even if it meets the exact terms the seller was asking. In that case the agent would have earned a commission but the seller doesn’t have to sell.
And I’ll reveal my ignorance here, what is a NINA loan, is that a loan funded by a small spanish girl?
BTI
Re: House Offer turned down - Posted by Natalie-VA
Posted by Natalie-VA on June 15, 2006 at 08:14:24:
Bill,
She doesn’t have a contract. Her offer was rejected.
–Natalie
Re: House Offer turned down-loan type - Posted by River City
Posted by River City on June 14, 2006 at 16:40:35:
A NINA is a conventional non-conforming loan where the lender does not verify income or assets (No Income No Assets). Business owners and/or people with large tax returns use this type of loan. This loan type is also used when an applicant is on the wire as far as ratios and cash, and this is when it should NOT be used. It generally carries a higher interest rate than a loan where everything is verified. This does not mean that the applicant can “fake” things on the loan application because the lender usually has a form (4506) signed by the applicant that states they can pull tax returns if needed.
Re: House Offer turned down-loan type - Posted by Kathy Titus
Posted by Kathy Titus on June 14, 2006 at 15:17:58:
A NINA loan takes no longer than any other type of loan! I was already approved for this loan 100%, the money is sitting and waiting. The listing realtor called my loan officer and it was explained to her! I am not a slouch, my credit score is in the 800’s. The listing agent knew all facts!
Re: House Offer turned down of type of loan - Posted by Max-Va
Posted by Max-Va on June 15, 2006 at 21:35:07:
Your loan officer should not have given any information to the listing agent without your permission.
House Offer turned down - Posted by Bill H
Posted by Bill H on June 16, 2006 at 13:16:33:
Yes, and I re-read the entire string of posts and apparently misunderstood the situation…indeed there is no contract if is is refused. I misread that it had been accepted and then unilaterally cancelled by the seller…
Re: House Offer turned down - Posted by River City
Posted by River City on June 19, 2006 at 13:28:18:
Read my first post where I explained what a NINA is.
close… - Posted by Natalie-VA
Posted by Natalie-VA on June 16, 2006 at 16:10:49:
You were close…that would be a ninita.
Re: House Offer turned down-loan type - Posted by dealmaker
Posted by dealmaker on June 14, 2006 at 18:17:56:
Let me play “devil’s advocate” for a second. An offer comes in for MY CLIENT’S listing on this type of loan. I understand that (1) this type of loan carries a higher interest rate, (2) people pay a higher interest rate because of the risk associated with lending to them. In this case, as an experienced agent I know that this often leads to deals that you think are going to close, not closing. Meantime my client’s house is tied up and OFF THE MARKET during the prime time of the selling season.
I would explain this risk to my client and advise them that this MIGHT NOT be the best route to go.
Sorry, but I work for MY CLIENT, not you.
dealmaker
Re: House Offer turned down-loan type - Posted by susan
Posted by susan on June 14, 2006 at 17:04:19:
I cant see whats it to the realtor how you buy the house. but is it a mls listing?? if so go try a different realtor …
Re: House Offer turned down of type of loan - Posted by Kathy Titus
Posted by Kathy Titus on June 16, 2006 at 08:21:03:
I would like to thank you for your time, and when all things are said and done with home buying, I’ve learned one thing, buyers BEWARE! There are two types of realtors, ethical and snakes!