Buyer rushes to close on foreclosure purchase in three weeks
Mortgage lender: James Forte
Property type: Single- family in New Fairfield
Purchase price: $ 125,000 Borrowing amount: $ 100,000
Loan type: 30- year fixed conforming, 5.125 percent
Background: The borrower was a construction foreman. The borrower was a very strong borrower on paper with good credit, job history, assets and debt ratio.
But sometimes, no matter how good you are, it is simply not enough. In this particular case, the buyer found a steal of a deal on a foreclosure rental and his offer was accepted. However, the bank, being the seller, required the borrower to close in three weeks.
The borrower, being an existing client of Forte, didn’t hesitate on who he should call. Forte immediately took the updated application, had disclosures sent for e- signature to the borrower and ordered an appraisal as a rush all in the first day.
Forte advised the client on exactly what paperwork he needed for underwriting. The borrower cooperated, got the paperwork over within 24 hours along with all the loan disclosures, and the file went to underwriting the next day. Within 24 hours from there, Forte was able to issue a loan commitment subject to only title, contract, appraisal and homeowner’s insur- ance, in less than three days from first conversation with client.
Forte set all expectations and requirements with all parties including the buyer’s attorney who ordered title as a rush immediately to avoid a delay. Forte was able to get the loan clear to close well in advance and closing took place on time. A very happy ending as buyer was able to take advantage of this diamond in the rough!