Re: co-housing unacceptable to Fannie Mae?!? | <– Date –> <– Thread –> |
From: John Beutler (jabeutlercomcast.net) | |
Date: Tue, 24 Apr 2012 19:48:43 -0700 (PDT) |
It took 8 months, but I just completed a refi as part of my divorce. An
appraiser said he didn't think the benefits justified the monthly fee,
but cohousing wasn't an issue for them. But then we don't have a right
of first refusal or a specific work requirement. The inderwriters, on
the other hand were so risk averse that they had my separation agreement
revised to satisfy themselves. But it finally closed.
JAB Liberty Village Cohousing Frederick, MD On 4/24/2012 10:20 PM, Lyle Scheer wrote:
On 4/24/12 1:21 PM, Sharon Villines wrote:On 24 Apr 2012, at 3:18 PM, Lyle Scheer wrote:So, yeah... we thought we had the bases covered, but it appears that even this is not good enough... Honestly, I think this underwriter balked at just the words "co-housing" and "right of first refusal" and didn't read anything else.I think it sounds like it. Since all the paperwork and fact checkinghas increased the person just doesn't want to bother. As this develops... I'm trying to suss out from my broker some of the questions raised by others on this list, such as what exactly are the Fannie Mae requirements as well as the "bother" speculation. Talking to my broker, he told me that the appraisers (which was the first trouble) are paid by appraisal, so they are the ones to usually not want to bother. We found an appraiser, but this is the loan underwriter who is giving trouble right now, and my broker said that they're paid by the hour, so more work shouldn't be a bad thing. He also told me that Fannie Mae makes the lenders buy back mortgages that they might initially purchase but then decide that they are not valid, and that it only takes a couple of these before a particular lender starts avoiding those types of issues. If I believe what he is saying, and based on the experiences of others on this list, that would imply that as time goes on more and more of these lenders will be on the lookout for these sorts of red flags (the word "co-housing"!?) and loans will continue to be harder to get. At this point, as much as I have been trying to talk the broker into the "this is not so bad" on the right of first refusal I posted earlier (mainly about it only being 30 days)... he basically told me the clause itself is a deal breaker. More shocking: the underwriter emailed to the broker a copy of my community's ic.org entry !?!, and pointed out that the "expected 10 hours of labor per household" is also a deal breaker.... literally looking for any excuse not to do this loan. Since I'm an editor for our ic.org entry (Ashland Community Cohousing), I immediately removed that expectation listing. It really makes you wonder in these days... it feels like co-housing is the homosexual in the financial closet and we are very clearly being discriminated against... hopefully that's not offensive to anyone... I suppose if anything it's not nearly as bad as what gay people have endured. It also reminds me how I keep hearing that employers are looking at facebook profiles for negatives.... the lender looked at our ic.org profile! Good grief! Do we really have to guard our co-housing privacy that much that we can't put out on the web things like labor expectations or be threatened with no loans? If it weren't for the fact that I need to get the loan through before May 14th or other bad things happen (personal situation), this might not be that big of a deal... just shop around. However.... shopping around, I'm also getting told I can't transfer my appraisal and that each lender I go to needs to order an appraisal due to new financial regulations, so I'm placing a $400 bet that no red flags will show up every time I go somewhere to try to get a loan. My current broker says I should disclose the co-housing and right of first refusal issues to new lenders when I go there, but that seems like I'm just asking for trouble. Yikes. I guess the relevant question for the list would be, has anyone done this process by actively disclosing the uniqueness's of your community and had a lender not blink? Within the past year? I worry that what I hear is that people just shop around until they find someone who *is* willing. Now, if they're not disclosing the issue, the willing entity may just not have seen the red flag. If the lenders are getting better at seeing the red flags, this is just getting harder for all of us. - Lyle _________________________________________________________________ Cohousing-L mailing list -- Unsubscribe, archives and other info at: http://www.cohousing.org/cohousing-L/
- Re: co-housing unacceptable to Fannie Mae?!?, (continued)
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Re: co-housing unacceptable to Fannie Mae?!? Sharon Villines, April 24 2012
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Re: co-housing unacceptable to Fannie Mae?!? Lyle Scheer, April 24 2012
- Re: co-housing unacceptable to Fannie Mae?!? Sharon Villines, April 24 2012
- Re: co-housing unacceptable to Fannie Mae?!? Lyle Scheer, April 24 2012
- Re: co-housing unacceptable to Fannie Mae?!? John Beutler, April 24 2012
- Re: co-housing unacceptable to Fannie Mae?!? Sharon Villines, April 24 2012
- Re: co-housing unacceptable to Fannie Mae?!? Diana Carroll, April 25 2012
- Re: co-housing unacceptable to Fannie Mae?!? Diana Carroll, April 25 2012
- Re: co-housing unacceptable to Fannie Mae?!? Sharon Villines, April 26 2012
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Re: co-housing unacceptable to Fannie Mae?!? Lyle Scheer, April 24 2012
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Re: co-housing unacceptable to Fannie Mae?!? Sharon Villines, April 24 2012
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