I’m not sure if this i
s a good idea to write while angry but i’m gonna do it anyhow.
The reason I put so much time and effort into this website and into training home buyers, Realtors and our loan specialists is exactly for this reason; to keep creeps like this from taking advantage of people!
Here is a comment that was posted on this site today in regards to my article “What you need to know about hiring a lender for the CalSTRS 8017”
If you scroll to the bottom of the post you will see a post by Susan, here it is:
I was approved for a CalSTRS loan and opened escrow on July 26. We were supposed to close on August 28th. Today is Monday, September 21. I signed loan docs a week ago today, and escrow papers the next day. I paid my closing costs last Wednesday. I still don’t have my keys, but have been assured that I will have them by Wednesday. EVERYTHING that I have been assured has been delayed by days throughout this process. My broker constantly blames CalSTRS because of it’s changing regulations. He also blames CalSTRS for my high closing costs. Now, he is blaming escrow for the delay in getting my keys. This is my first time buying a house and it is no longer exciting. I’m sure I was a victim of the ‘bait and switch’ which I fell for, so that delayed everything by another week and a half. I had already been approved for the CalSTRS, but my lender said my closing costs would be a lot less if I went with FHA, so I said okay. He had given me a quote of what my monthly payment would be and it was very close to the CalSTRS. Hah, turned out ‘he was incorrect’ with his quote and my payments would be a lot higher, SO, we had to go right back to underwriting (per his words, anyway) and start all over with the CalSTRS. Fortunately, my landlord has been in no hurry to rent out my condo because I have had to ask for 3 extensions. We’ve also had to ask for 3 extensions from the seller (bank owned). I’m frustrated and just not quite convinced that this is CalSTRS fault, although my lender says they are difficult, confusing, and expensive loans that require a lot more paper work. Does anyone agree? I would like to justify this process being such a disruptive part of my life. I would also like to know if there is anyway to ever recover some of the closing costs after we close. I think I’ve been ripped off. Susan
Click on the link to the article and read my response…..i’m just a little to upset right now to talk about it anymore….but I do feel a little better now after telling you about this, thank you for listening to my rant.
And finally, to answer my title question “How do you know when to NOT trust your Agent or Lender”? – As soon as they start to blame someone else for challenges in the buying process. There are ALWAYS challenges, that’s what we do – we navigate challenges and solve problems.
Your Agent or Lender should be working closely with you, communicating with you, educating you throughout the process. You don’t ever want to be in a position where you simply believe everything that is being told to you – it is your responsibility to UNDERSTAND what is happening. If you are not getting answers to your questions – ask those questions of someone else.
Other articles about this topic that might interest you:
- Buyers Beware: Homebuyer Survey Says – “Market conditions” making lender’s service worse….really? A Buyer’s Satisfaction Survey by J.D. Power & Associates shows that loan originator satisfaction is down. Much of the frustration...
- Buyers BEWARE: Prices on the Rise, Sellers run the Show, Agents desperate for Commissions….but its not all bad! A little over a month ago I wrote an article about avoiding homebuyer frustration by managing your expectations. This was...
- Slide Show: A Complete Guide to Hiring a Lender and Real Estate Agent – Finding the Best Deals Too often, as a home buyer, you “end up” with a Lender or real estate agent. Because you’re not giving...
Chris "Doc" Apodaca
Jeff Brown – BawldGuy
Scott Schang
{ 3 comments… read them below or add one }
Man, that’s just wrong. What ever happened to transparency? My blood was boiling as I kept reading her post, agents like that don’t deserve the business. I felt bad when I read “the homebuying process isn’t exciting anymore”, breaks your heart. Keep me posted on what happens with her.
I had a similar experience recently on a new home where the builder’s finance person was trying to bully me into going with him instead of the lender that I had chosen. He also recommended an FHA loan instead of CalSTRS, and was really rude when I told him that in my research thus far, CalSTRS appeared to be a better option for me. When I asked why I should go use his company his answer was, “because the builder wants you to”, which is wrong because it isn’t the builder’s peragative to choose my lender! I found out a week into escrow that my lender had never been contacted about the escrow (I’m assuming because the selling realtor and the builder’s lender were hoping I’d change my mind). I was furious! Needless to say, that lender won’t be getting my business!
Thanks Scott for all the education you’ve provided. If I hadn’t attended so many of your online webinars, I might not have realized that his behavior was fishy. The article you sent out today confirms that I made the right choice in telling the builder’s lender to “get lost”.
Thank you for taking the time to share this Gretchen. All we can do is keep screaming about this sort of thing and hope that people hear us. It’s amazing to me that some people have the audacity to treat home buyers this way. Buying a home is stressful enough without having to deal with some jerk that’s just looking for a pay day.
P.S. I hope you called our company to do your CalSTRS loan