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Refi on Manufactured/original loan WAS a conventional

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deedee584

Junior Member
What is the name of your state (only U.S. law)? Ca
I bought a home thru Colwell Banker Mort. 4 years ago. It was financed as a Conventional fixed rate(stick built) home.
1 year later due to a disability I tried to refi and was informed the home was manufactured and that some how I had SLIPPED thru the cracks??????
Well manufactured loans to refi were and are way higher % and monthly payments.
Had I been given quotes of a manufactured loan right from the beginning I would NOT have qualified for it.
Was unable to sell due to market crunch and ended up in foreclosure this last April.
Obviously this was a bogus loan right from the start and just to get me in, but anyone trying to buy or refi is screwed . Do I have any recourse?????I had 19,000 invested .:(
 


FlyingRon

FlyingRon

Senior Member
I'm uncertain of the exact sequence of events here, but I suspect you have waited too long to do anything. Are you telling me that the original lender called the loan when they found out it was a trailer, or that it was foreclosed upon because you failed to make payments on the original mortgage.
 
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deedee584

Junior Member
No the lender refused refi and so did others due to the fact it was manuf. Which I could not get my payment down on original loan(disability) . All the loans offered were high interest loan sfor manufa. So I tried to sell for 2 1/2 years (Ca market) but was unable because of finacing and real estate drop. So it ended in foreclosure sale in April.
 
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deedee584

Junior Member
It may be to late now but I wanted to sue lender to recoop my down payment since the loan was bogus and inaccurate ?:confused:
 
FlyingRon

FlyingRon

Senior Member
The loan wasn't bogus. The fact that you aren't able to refinance it doesn't make it invalid. You just got more favorable terms than you would have in today's market.
 
F

Free@last

Junior Member
Too Many Variables

It is entirely possible that you have a slim shot, but in my opinion very, very slim.

First, manufactured homes aka modular homes have so many different definitions and in many cases, they can be construed as stick built. But, here is a question for you - when you went to refinance, how hard did you push on that end, with the second lender? That's probably how you found out you slipped through the cracks. But, that's really not important. What is important is in the real estate/mortgage world definitions constantly changed. Right now, manufactured and modular and double-wides have the same meaning, as long as the chassis has been disabled. So, unless you plan to sue someone for changing definitions......And while it's painful to hear, 2 wrongs don't make it right.

Another issue, how do you receive more favorable terms at time of purchase than what is offered now and sue because you were not charged more originally? That is like suing a doctor that originally told you that you had cancer and was wrong. You want to sue him for the wrong diagnosis.

Definitions change. Terms change. What is available today is not guaranteed to be here tomorrow. What I don't understand is this -----> the all time low for mortgage loan interest rates was May of 2004. Why would you be refinancing from that era? One year later in 2005 everything had already headed up, including value. Were you perhaps trying to cash out to help w the lack of income from disability? The only way that would have happened would have been via a No Doc. Disability after 1 year would have been too short term and therefore, no income could be used. Even if you had gotten the loan, it would have been for far, far worse terms than what you originally had.

It looks like in addition to your disability, you got caught by definitions and changing guidelines. I am definitely not in the legal field, but I have appeared as an expert witness for mortgage matters and have over 25 years in mortgage banking. I know this is not what you want to hear, but I also understand you won't be able to move forward until you come to grips with this.

Best of wishes......
 
M

moburkes

Senior Member
Because of a misunderstanding on the part of the lender/loan processor you were qualified for a lower interest rate than you would have been able to get anyone. You BENEFITTEd from this. It is not the fault of the bank that you became disabled and were not prepared for it. Had you become disabled with a mobile home loan, you would have had the same problem. Had your home been a conventional site built home with the same interest rate, there still could have been a chance that you wouldn't be able to refinance, since less loans are being funded, and the credit, income, etc restrictions are much higher than they were when you originally purchased the home. I can't imagine that a person would purchase a manufactured home and not understand all of the differences between it and a site built home. Hell, I know of many of the differences, including the differences in interest rate, and I don't own one.

The fact that you weren't prepared for your disability (and I don't mean that in a judgmental way, just a matter-of-fact way) is not the lender's fault. It is your fault. You don't sue for your mistakes.
 
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dmiller12

Member
The bottom line is irregardless of whether your home was classfied as manufactured when you took out the original loan or not, you would not have been able to reduce your monthly payment today. Rates are higher today for all mortgage products then they were 4 years ago and as someone else has eluded, loan products have changed, many have gone away.
 
S

seniorjudge

Senior Member
dmiller12 said:
The bottom line is irregardless of whether your home was classfied as manufactured when you took out the original loan or not, you would not have been able to reduce your monthly payment today. Rates are higher today for all mortgage products then they were 4 years ago and as someone else has eluded, loan products have changed, many have gone away.
Click to expand...
"irregardless"?

:eek::eek::eek:
 
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