mortgage approval

Location: Georgia
we applied for a loan to buy a house. we were told that we were approved, received a letter from lender stating that we were approved. found a house. set closing date. two hours before closing, lender came back and said that we were not approved. he stated that i could get my money back for appraisal costs, earnest money. is there anything else that i can do? we lived out of boxes because we were under the assumption that we had the loan, we even had it in writing. the builder is very upset because this has been dragging on for 2 months.

[Edited by mmcnair on 04-11-2001 at 05:23 AM]

[HomeGuru]

Nothing you can do unless the lender is at fault.

I am not a lawyer, I am a mortgage consultant. I would find out specifically why your loan was denied by the original mortgage company. Then call several other mortgage companies in your area and explain your situation to them, let them know why you were denied up front, so they don't go through the whole process too, and discover something late in the game that will cause them to deny also. There are hundreds of mortgage companies out there, not all of them have the same programs and guidelines. You may have been denied on a conforming loan, and you may qualify for an FHA loan or a non-conforming loan.

Good Luck!