So as an update…for our condo loans, we have lowered the down payment requirements!
Please bear in mind, while that cash greased the skids of the initial transaction, getting that money back out will entail all the minutiae of any mortgage loan. Buying a home with cash does not prove you are solvent and are an excellent risk to a lender! If you are planning on doing a delayed mortgage deal and have the expectation that it is just a deposit and withdrawal equation, it is not. You are still subject to provision of all documentation and processes.
First of all, I know we’re all theoretically adults here but it must be said: There’s no room for whining, complaining and general grousing. To get a deal done in less than 30 days it is all-hands-on-deck. You need to clear your calendar, be accessible, return calls immediately, and have exactly what is asked for when it’s asked for. There is no margin, there is no tomorrow. We’ve got a lot of moving parts and they all have “stuff” they need to be fed to be kept moving. Literally, if something stalls due to missing pages of a bank statement for example, this line of dominoes is going down. I don’t think I know how to be any clearer.
What I’m saying is, even if it means paying off a minor balance you are disputing or submitting a letter to rescind a dispute so your mortgage process can proceed, you can move on with your life (and home purchase!).
How do our friends at Wikipedia define playing chicken? “The principle of the game is that while each player prefers not to yield to the other, the worst possible outcome occurs when both players do not yield.”
At the end of the day, sometimes you need to back down in order to win.
On the flipside, there are buyers who believe they have horrible credit, they know they have credit lines and high balances on several cards and don’t believe they would be a good mortgage risk. They therefore assume they will be denied a home loan.
This is not to say that either one of these clients is ready to make a move, but neither should presume their reality.