Refinance issue

[sherpa]

We are trying to refinance through First Horizon Mortgage. They have strung the process out for months, always needing "one more document" and "one more fax." Now, they are telling us that we need to have a second survey done of our house (the original survey was of the land before we built the house) and that we need to pay an extra $350 for the survey or pay a $500 cancellation fee. Is this ethical/legal? The original survey was sufficient when we got our original loan, so why isn't it now? And shouldn't we have been informed a second survey would be needed before we agreed to the $500 deposit?

 

[jharris352]

You probably were informed that there was the possibility of a second survey somewhere in the jumble of paperwork. Lending is so damn difficult these days that they are not the ones holding you up. You have to practically thread a needle with a baseball bat to get a loan done now. (I've funded 250 million in home loans in my life as a broker).

If you are really at wits end, tell them no and demand your deposit back in writing. Threaten to take them to small claims court and follow through if they do not give in. My guess is they will give in because hiring a lawyer is not worth saving the $500.

Good luck.