IS THIS NORMAL???
Hello all,
Me and my partner submited all the paperwork for a Construction Loan three weeks ago and still haven't received any notice from the two banks we submited to. The Mortgage Broker that is working with us assured us we will get approved thanks to my partner's FICO score of 736 and his financial situation.
Is it normal for banks to take that long to process a Construction Loan? The Mortgage Broker also told us this type of Loans are not that common in Baltimore, MD Banks.
We are basically looking for a 80% LTV to buy a $115,000 Townhouse. We have $10,000 downpayment and a certified appraised value of $245,300 once the fix-up is done. We also have the contractor's quote of all fix-up ($78,000) which would be escrowed and as I said my partner's FICO is 736.
We are in the Washington DC area and the property is in Baltimore City, MD
Nexus...
Nexus two weeks is not abnormal. It could take the appraiser that long to review the work write up and submit his finding back to the bank.
I submitted my package to the bank about four weeks ago and I am still waiting on a closing date.
Vern,
First of all, thanks for the quick reply. Second, I'm a little confused with your response. When we submited the paperwork to the bank we included an appraisal that a Certified Appraiser did for us. The appraised value of $245,300 was based on the Contractor's Scope of Work (and area comp's naturally) since the house is a junker.
When you say two weeks for the appraiser to review work write up, is that another appraiser sent by the bank?
Thanks again,
The key issue here is the lack of communication. Your broker should be keeping you up on everything. If not, call him to make sure that there isn't a problem. Assuming everything's OK and he is just very busy, let him know that you expect frequent updates. That's not a wild request..... quite honostly, you shouldn't have to request it.
hope this helps,
clear2close
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