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Mortgage Problems ~ A Bad Deal!


Poopsty
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Hi There,

I wonder if you can help me. I closed a mortgage on April 22nd of this year. Because I trusted the realtor, I realized after the fact that even the most minute thing needing to secure me as a proposed new homeowner, as far as the heating unit, the hot water heater and the inbuilt dishwasher was not done. An inspection was not done on the home either. Add into this the roof and you have a pretty accurate description of the situation.

I contacted the MS Real Estate Commissioner after a period of time going back and forth between the realtor and the seller of the property. The commissioner caused things to move a little. The realtor promised to make all sorts of amends such as using the amount she received from the closing to have repairs made. This soon stopped and things remained at a stand still. I have had to cope with no air in the summer, this is Mississippi I'm talking about. It's cold now and again I am in my pocket to get a very old unit working or find a miracle to replace it. The latter of this is discovering that the mortgage company my loan has been placed with will not allow me to make payment twice monthly. I am told it is against their policy. I thought it real strange that a representative from a company I owe money to would tell me that they cannot accept $600.00 guaranteed funds from me. I really thought something was wrong with my ears. Why it was placed with a company like this is beyond me. They have a program that specifically allows the customer to make payments twice monthly and save on payable interest as well, but it cost $400.00 just to join this elite "club" so I was not able to join the club at the time.

Is there any help for me.

Poopsty in Mississippi :(

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In my experience most real estate brokers are very good at comforting you through the process so that you have no need to read the fine print.

What a wonderful service they provide.

It's important to know, that regardless of the fact that they are to represent both parties equally, they ultimately are paid by the seller. The exception is when you hire a buyers broker and pay them directly.

Aside from taxes, purchasing a home is the largest expense we incurr, yet so many of us let others do the thinking for us. (Guilty)

The lender makes less interest in the long run when you make bimonthly payments. Real estate is a very secure investment for them, therefore they are in no hurry for you to pay off the mortgage. The extra fees are an attempt to discourage you and or recoup some of what they lose by the bimonthly program. One program I looked at had an entry fee so high that I would have been better off paying it in one lump sum and continuing with my monthly payments. Do they have pre payment penalties for tossing in an extra $20.00 a month? Bankrate.com has a mortgage calculator which you can use to come up with your own plan.

I would contact the commisioner again and consider small claims court. From what I've seen, the courts tend to favor towards the buyer. Perhaps because of the contradictory fact that the seller pays the broker and yet he or she is to equally represent both parties.

Hope things start to look up for you

Gettinout

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File in small claims court against the realtor. If they value their reputation and being a licensed realtor they will make amends. I have been a mortgage broker for 7 years now. Most realtors I have dealt with are not looking out for their client's best interest. The same goes for mortgage brokers. When you closed on the loan you should have gotten confirmation that they allowed you to make biweekly payments. Check out the following website. They can help you pay biweekly. This is just one company that does it, you may want to check out a few different ones. This one charge $195.00 for a "lifetime membership"

http://www.biweeklysaver.com/eap.asp

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Hey spammer, how about taking your club memberships elsewhere?

Here's the deal on "biweekly" mortgages: a> Take your mortgage payment, divide by 2 then multiply by 26.

b> Now multiply your payment times 12. The difference between the a and b is what you would pay extra for "biweekly mortgage".

Mortgage payment = $400 (example) .. $200 x 26 = 5200. $400 x 12 = $4800. 5200-4800 = 400, so to spread this out, $400 / 12 = $33.33 per month. There's your bi-weekly mortgage payment.

Now if you have a pre-pay penalty to discourage quick re-fi's then you're SOL.

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I have had to cope with no air in the summer, this is Mississippi I'm talking about. It's cold now and again I am in my pocket to get a very old unit working or find a miracle to replace it.

Believe me I feel your pain on the HVAC issue. If you are interested in replacement of your units I can direct you to a wholeseller that I purchased my units from, they sell to the public, about 30 cents on the dollar compaired to the quotes I recieved from the local contractors.

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I may be wrong isn't but doesn't a biweekly mortgage payment accomplish the same thing as an extra payment annually? I had an issue with a mortgage company years ago and they said do to the way they process payments they could not handle biweekly payments. So I xfered funds biweekly to my savings and then paid monthly with one extra principle payment near year end.

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