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Personal Finances / Buying or Selling a Home
|Subject: Grrr.... Stupid people could cost me thousands||Date: 5/29/2003 11:06 AM|
|Author: babyfrog||Number: 54932 of 128075|
Why am I the one that has to bring a certified or cashier's check to closing? Why am I the one who had to get his credit run about fifteen times, have his financial life analyzed under a microscope, and pay hundreds of dollars in application fees?
I should be the one charging the banks, title companies, and other assorted nincompoops at this point. Absent a lightning strike, I am supposed to close on my first house this afternoon, at 1:00 p.m. Throughout this whole process, however, it has been nothing but a comedy of errors on the part of those so called 'professionals' who do this all the time.
FIRST, there was the loss of my earnest money from the selling relocation company. I wrote a check, got a receipt, and had the money accounted for on my purchase contract. But somehow, the sales addendum contract that the relocation company who is handling the seller's side of the equation, didn't account for the check on it, so 'poof', the contract they sent me was off by at least $2000. And of course, it was up to me, at my own time, to get that fixed.
THEN, my savings and loan lender screwed up the loan application, crediting my earnest money the wrong, so instead of being a $2000 credit against the down payment, it was credited as something else (not exactly sure what), but the end result was that the bank's numbers indicated that I didn't have 15% down, so I wouldn't qualify for their no PMI/great rate program. Up went the interest rate, and on got tacked PMI, and yowza, watch my monthly payment jump by $250. And of course, it was up to me, at my own time, to get that fixed.
NOW, just yesterday, I got the HUD settlement statement. If I thought the previous financing problems were comedic, this statement was absolutely tragic in that it bore absolutely no resemblence to reality. FIRST, the address of the property was listed wrong - the street address was right, but the city was listed wrong It makes a huge difference - a matter of THOUSANDS in local income taxes per year. And yes, it matters. My zip code is shared between my local-income-tax-free community and this high income tax one. I've heard horror stories from neighbors who have been sent income tax bills erroneously, and had to fight them, because some paperwork listed their address in the wrong tax district. AND, again my earnest money got screwed up - omitted entirely from the money credited to me as already paid (yet another $2000 'mistake' that I had to fix). AND, the seller is supposed to give me $1000 in lieu of making repairs. Well, instead of listing the $1000 as a credit payable to me by the seller, it was listed as a credit payable to the seller by me. Another $2000 snafu ($1000 loss in money due me, plus $1000 extra that I do not really owe), that I got to fix, at my own time. BUT WAIT, there's more! My lender doesn't escrow property insurance, so I paid the first year's premium and have a receipt and proof of insurance card to prove it. I even faxed that to the lender over a week ago, and the lender swears that it provided it to the title insurance company. Sure enough, on the settlement statement, there's a line for $765 for property insurance, that I have to bring to closing.
It gets better. Out county auditor has a great internet site. On that site, you can get all sorts of things, like the property tax owed on a house, whether the taxes are paid on time, etc. Well, in my world, if you take the annual tax bill provided by the auditor and divide by twelve, you get the monthly amount needed to pay the property tax. Which IS escrowed by my lender. Of course, it would help if someone knew how to read or divide at the title company. The total annual tax was off by about $600 (on the low side, so there wasn't any chance that they simply estimated for any tax increases), and the amount that the seller had to pony up to cover the second half 2002 and the 2003 (through today) real estate taxes) was off by that much. PLUS, the amount that I was supposed to bring to escrow two months of taxes (standard around here) appeared to be created by a random number generator. It bore no resemblence to the auditor's description of the taxes OR the "off by $600" figure that afflicted the seller's portion. The escrowed amount was off by about $85 a month. All of this, of course, I had to fix, on my own time, while under the gun, with the clock ticking towards this a