Possession Date with No Funds from Mortgage Co.

[UTCVenturesLtd]

I have a possession date of June 20th for a house in Blairmore, Ab. I have a uhaul trucked booked for the 21st and would be getting the keys from my realtor down there on the 22nd at noon to move in. My home base is sold with a June 27th possession date. I just find out today that the lawyer`s office have to fill out some paperwork yet to get the funds from the mortgage co. which takes about 5 days to process. The mortgage brokers had told me last Monday that everything would be fine, they just wanted to make sure that there were no hiccups... and i was already approved 3 weeks ago... so now i need $98K for Friday, two days away in order to have things go through normal. Seems to me a bit too quick to go to the bank to ask for some interim financing. Luckily, i have a weekender home in Coleman, just mins away, that i can use for storage of the furniture, but then i will need to do a 2nd move when i do get possession... next week! I have no rich friends with $98k in liquid funds to use for a few days. Any suggestions as to what one can do at last minutes? A hard money lender to save the day?

 

[RedlineBrett]

Deals close late all the time. I would put the heat on both your lawyer and your broker to really push for this as you will be paying late interest on the delayed closing not to mention you being stuck between doors is a rather large inconvenience and a little strange given they have had three weeks to be talking to one another.

Have your agent give the listing agent the `warm and fuzzies` to calm any fears on the seller`s side and have your lawyer do the same for the opposing legal council and you should be fine.



QUOTE (UTCVenturesLtd @ Jun 19 2008, 02:56 AM) I have a possession date of June 20th for a house in Blairmore, Ab. I have a uhaul trucked booked for the 21st and would be getting the keys from my realtor down there on the 22nd at noon to move in. My home base is sold with a June 27th possession date. I just find out today that the lawyer`s office have to fill out some paperwork yet to get the funds from the mortgage co. which takes about 5 days to process. The mortgage brokers had told me last Monday that everything would be fine, they just wanted to make sure that there were no hiccups... and i was already approved 3 weeks ago... so now i need $98K for Friday, two days away in order to have things go through normal. Seems to me a bit too quick to go to the bank to ask for some interim financing. Luckily, i have a weekender home in Coleman, just mins away, that i can use for storage of the furniture, but then i will need to do a 2nd move when i do get possession... next week! I have no rich friends with $98k in liquid funds to use for a few days. Any suggestions as to what one can do at last minutes? A hard money lender to save the day?

 

[UTCVenturesLtd]

QUOTE (RedlineBrett @ Jun 19 2008, 07:02 AM) Deals close late all the time. I would put the heat on both your lawyer and your broker to really push for this as you will be paying late interest on the delayed closing not to mention you being stuck between doors is a rather large inconvenience and a little strange given they have had three weeks to be talking to one another.

Have your agent give the listing agent the `warm and fuzzies` to calm any fears on the seller`s side and have your lawyer do the same for the opposing legal council and you should be fine.

Going to try see if the vendors will just finance the 4 or 5 days at my line of credit rate which is what i would be paying if the funds were on time. It looks to be an estate that was willed to two fellows who are on title. Maybe that will save the day? Already contacted my real estate agent. Listing agent is the one who had the listing for my other property down there when i bought it in 2005. Fingers and toes crossed that it will come together on Friday so i can move in on Sunday.

 

[Nir]

Reminds me of the hell I went through recently - funds were transferred a day late and until the last day(!!!) the bank could not approve and transfer the funds although I was approved 2 months earlier(!!!). It was a nightmare what they did to me. the reason is even more interesting - the banker made a “mistake” approving me overlooking something he had to consider related to my application. that`s why it took so long but they had to transfer the funds as the initial approval was their mistake crazy, eh?

Thank goodness they eventually allowed the purchase as it was a very good one for me and the bank as I prefer skipping a meal or a hair cut if I have to on not paying my mortgage. the banks are not going to lose on me whether they make a "mistake" approving me or not

Bottom line, if they approved you no worries they will transfer the funds! you`ll see..

Cheers,
Neil

 

[UTCVenturesLtd]

QUOTE (investmart @ Jun 19 2008, 05:09 PM) Reminds me of the hell I went through recently - funds were transferred a day late and until the last day(!!!) the bank could not approve and transfer the funds although I was approved 2 months earlier(!!!). It was a nightmare what they did to me. the reason is even more interesting - the banker made a "mistake" approving me overlooking something he had to consider related to my application. that`s why it took so long but they had to transfer the funds as the initial approval was their mistake crazy, eh?

Thank goodness they eventually allowed the purchase as it was a very good one for me and the bank as I prefer skipping a meal or a hair cut if I have to on not paying my mortgage. the banks are not going to lose on me whether they make a "mistake" approving me or not

Bottom line, if they approved you no worries they will transfer the funds! you`ll see..

Cheers,
Neil

Hi Neil,
I have never had this happen in all my purchases over the years! Yes, i was approved about 4 weeks ago. From what my realtor says, along with checking with the lawyer on this... I still take possession, but have to pay a tenancy-at-will fee - prime plus 3% til the funds come through... which should be for less than 7 days and much better than any alternatives that i can see. This type of situation was not in any of my training books nor have i seen anyone else post it, so it is a learn as you go one!
Dean