You are here:

Buying or Selling a Home/Mortgage with a Judgment in repayment

Advertisement

Expert: - 11/16/2007


Question
I have been approved for a loan by a bank, i've received my committment letter, had the inspection, home appraisal, etc. and my mortgage broker calls me yesterday stating that i need a letter from the law office that i have been paying on the judgement for over a year and it's in repayment status. i've already provided them with an itemized payment history from the law office and that didn't seem to suffice.

My question to you is once i receive the letter from the law office stating that the judgment is in repayment, will I be able to go forward with purchasing the home? If this was going to be a problem from the start, i would've imagined that the bank and/or my mortgage broker wouldn't have gone as far as we did with the process. They would've saved me money and all of us time.

Answer
Hi TeeRo,

I really wish they would stop calling them "commitment" letters! You can get a "commitment" letter from a mortgage broker, but until the underwriter signs off on the loan and you have full underwriter approval in writing, a loan is NOT guaranteed.  The only thing that is committed is usually the buyer.

But don't panic. Very often after the lender sends the package to an underwriter, the underwriter will want extra documentation. That sounds like what might have happened in your case. And they may still come to you wanting even more last minute documentation for another aspect of your loan - it happens all the time. Hopefully this is just a paperwork technicality - and those are very very common.

Good luck!!

Buying or Selling a Home

All Answers

Answers by Expert:

Ask Experts

Volunteer

Diann Tonnesen

Expertise

I have over 25 years of experience in real estate in Las Vegas. I can answer almost any specific question about buying or selling homes, condos, high rise properties or land in the State of Nevada as well as general real estate questions that pertain to the industry as a whole. I can also answer questions related to financing on FHA and VA loans, conventional loans, interest only loans, stated income loans, and hard money lending. You can also go to my site at http://www.greatlasvegashomes.com which has lots of information on it as well.

Experience

With my husband I have been helping families call Las Vegas home for over 23 years and I still love it! We developed a strong niche in the Internet industry and had to start a team of agents to respond to the large volume of calls we were getting. Currently we have 18 full time agents, a sales manager, two leads managers and two transaction coordinators assisting us. Last year we helped over 280 families and investors find property in Las Vegas.

Organizations
Las Vegas Board of Realtors and the National Association of Realtors

Publications
PR Web, Las Vegas Review Journal, and interviewed for numerous magazines as well as a broadcast interview for television by CNN.

Education/Credentials
college journalism major

Awards and Honors
Top agent in the state of Nevada for sales multiple years when working for Century 21 and last year one of the top 10 agents in the country with Prudential.

Past/Present Clients
Just too many great clients to mention here, but I can certainly provide a long list of references on request. Or check out our web sites at:

Las Vegas Real Estate
Las Vegas Condos
Henderson Real Estate
Las Vegas Golf Course Homes

©2012 About.com, a part of The New York Times Company. All rights reserved.