Mortage Problems

[snake51]

I negotiated to purchase my late grandfather's house from my aunt and uncle who inherited it. By the way, I am in North Carolina. Anyway, the purchase price was $70,000.00. We agreed to the deal of $40,000.00 cash and 7.95 acres of land I own that adjoins their house and property. I went to the bank and explained the deal, filled out an application and got the process started. I paid like $242.00 to cover the cost of appraising the house I was buying and getting a flood certification. It appraised out well over the value I was borrowing against it. I was told that everything was a go... now the bank is telling me that I have to get an appraisal on the property I am trading to my aunt and uncle which means another $242.00, before the will give me the loan. I was not told this up front and it is not the standard practice of the banks in this area. And most importantly it was not on the disclosure sheet I signed during the application process, and if I had know this I would have went to a different bank. Do I have any legal recourse against the bank to get my $242.00 back for the appraisal?

 

[lawrat]

You probably do but the cost of filing a suit and the frustration may cost you more.

Chalk this up to a lesson learned and be happy you qualified. Don't take what you get for granted. : - )
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I am a law school graduate. What I offer is mere information, not to be construed as forming an attorney client relationship.

 

[snake51]

Why is it that it seems like lessons learned are so expensive?

 

[I AM ALWAYS LIABLE]

I negotiated to purchase my late grandfather's house from my aunt and uncle who inherited it. By the way, I am in North Carolina. Anyway, the purchase price was $70,000.00. We agreed to the deal of $40,000.00 cash and 7.95 acres of land I own that adjoins their house and property. I went to the bank and explained the deal, filled out an application and got the process started. I paid like $242.00 to cover the cost of appraising the house I was buying and getting a flood certification. It appraised out well over the value I was borrowing against it. I was told that everything was a go... now the bank is telling me that I have to get an appraisal on the property I am trading to my aunt and uncle which means another $242.00, before the will give me the loan. I was not told this up front and it is not the standard practice of the banks in this area. And most importantly it was not on the disclosure sheet I signed during the application process, and if I had know this I would have went to a different bank. Do I have any legal recourse against the bank to get my $242.00 back for the appraisal?

My response:

I'm sorry, I don't mean to laugh, or to be trite about your situation, but you've got to be kidding, right?

You're b i t c h i n g about a lousy $242.00 more, when you, yourself have said, and I quote, "It (the house and property) appraised out well over the value I was borrowing against it."

You should be running like a bandit to have your property appraised, and to close this deal. Someone is going to catch wind of the fact that you're making a windfall, and are going to put the kybosh on this deal, and back out. Ever heard of "Murphy's Law"?

I cannot believe you ! For such an overappraisal, you should be taking the money and throwing it at your relatives rather than complaining. Sheeesh !

Good luck, really.

IAAL

 

[snake51]

It appraised out at $67,250.00. The amount I was refering to is the amount I was borrowing which was $40,000.00. The house actually apraised out LESS than the $70,000.00 negoiated price.