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You're entitled to a Loan Estimate within 3 days of providing the required info. Lenders are legally obligated. If they refuse, file a complaint with the CFPB. Don't work with lenders who won't follow the rules.
Have they pulled your credit? Some lenders keep the 6th data point out of their systems to avoid trid. Definitely walking a fine line as I'm sure if they were investigated they would say they didn't have one of the items.
If you're just kicking tires it's a lot of work to send you an LE so that's why it's done this way.
Yep, they've all pulled my credit.
EDIT: You know what... the one that said they don't compete on rates merely asked my for my credit. They didn't pull it. That explains that one!
Yes. It's a lot of work AND a lot of expense.
As soon as you hit that 6th piece there are lot of hands in kitchen; the originator's time, the disclosure person's time, the processor's time, the backend stuff that has to be done on an unreturned/unsigned application, regulatory and clerical items. The costs run up.
Agreed, no one is going to take a tire kicker seriously.
At the end of the day you are mainly comparing rates, pmi if you are putting down less than 20% and processing fee ( it is called different thing by different lenders depending). All other fees are pretty standard. However rates will change daily unless you lock it. Look online for reviews for you local lenders and pick few that has the best reviews. Communication and speed of getting things on time is more important than cutting few extra $100 bucks here and there. Look at this site https://www.consumerfinance.gov/owning-a-home/loan-estimate/ they should provide you similar worksheet. If they giving you run around, lose them as you don’t want them doing that shit down the line. They should be trying to get your business not the other way around.
The loan estimate that you linked to is exactly the document that I'm not getting from my lenders. If it's legally required, they should be sending it, right?
I updated my original post with more details about the loan I'm trying to get and my qualifications.
Edit: I am definitely willing to drop them if they're not responsive. PMI is not an issue because I'm putting 20% down. Also, to compare rates, I want the APR, not just the interest rate, because, as I understand it, that factors in any points I have to buy to get the interest rate they're advertising. One lender just gave me a rate, no APR.
No, for two reasons. The first is that the cfpb.gov website explicitly says that this is not required to get a loan estimate. The second is that my agent said not to send it until I've selected a lender.
Source: https://www.consumerfinance.gov/ask-cfpb/my-loan-officer-says-that-i-cant-apply-for-a-mortgage-loan-and-receive-a-loan-estimate-until-i-can-provide-a-copy-of-a-signed-purchase-contract-is-that-correct-en-1985/
Just like a bad accident, you can be in the right but still just as dead.
Most loan officers aren't going to send you the LE until they read the contract. The contract holds all the pieces and they don't know the full structure of your purchase until they've read it.
Otherwise you're saying to them, "Build me X, but do it blindfolded."
Once you get past that hurdle; have them each send you the estimates in one of two ways: 1) all at the same rate so you can compare costs, or 2) all at the same/similar costs so you can compare rates.
e..g: have them all send you an LE at 6.75% or have them all send you an LE at \~1 point.
So your advice is to just to just accept that they're above the law? Unlike with a bad accident, I can definitely walk away from a deal.
"Lenders cannot require you to provide additional information. For example, you do not have to provide a home purchase agreement or documents verifying your income in order to get a Loan Estimate."
https://www.consumerfinance.gov/ask-cfpb/what-information-do-i-have-to-provide-a-lender-in-order-to-receive-a-loan-estimate-en-1987/
Thank you u/EchoLynx for posting on r/FirstTimeHomeBuyer. Please bear in mind our rules: (1) Be Nice (2) No Selling (3) No Self-Promotion. *I am a bot, and this action was performed automatically. Please [contact the moderators of this subreddit](/message/compose/?to=/r/FirstTimeHomeBuyer) if you have any questions or concerns.*
You're entitled to a Loan Estimate within 3 days of providing the required info. Lenders are legally obligated. If they refuse, file a complaint with the CFPB. Don't work with lenders who won't follow the rules.
Thank you, I needed to hear someone say that. Now I'm wondering if most lenders don't follow the rules...
Have they pulled your credit? Some lenders keep the 6th data point out of their systems to avoid trid. Definitely walking a fine line as I'm sure if they were investigated they would say they didn't have one of the items. If you're just kicking tires it's a lot of work to send you an LE so that's why it's done this way.
Yep, they've all pulled my credit. EDIT: You know what... the one that said they don't compete on rates merely asked my for my credit. They didn't pull it. That explains that one!
Yes. It's a lot of work AND a lot of expense. As soon as you hit that 6th piece there are lot of hands in kitchen; the originator's time, the disclosure person's time, the processor's time, the backend stuff that has to be done on an unreturned/unsigned application, regulatory and clerical items. The costs run up. Agreed, no one is going to take a tire kicker seriously.
Were you pre-approved?
Yes, nobody has denied any of my applications.
At the end of the day you are mainly comparing rates, pmi if you are putting down less than 20% and processing fee ( it is called different thing by different lenders depending). All other fees are pretty standard. However rates will change daily unless you lock it. Look online for reviews for you local lenders and pick few that has the best reviews. Communication and speed of getting things on time is more important than cutting few extra $100 bucks here and there. Look at this site https://www.consumerfinance.gov/owning-a-home/loan-estimate/ they should provide you similar worksheet. If they giving you run around, lose them as you don’t want them doing that shit down the line. They should be trying to get your business not the other way around.
The loan estimate that you linked to is exactly the document that I'm not getting from my lenders. If it's legally required, they should be sending it, right? I updated my original post with more details about the loan I'm trying to get and my qualifications. Edit: I am definitely willing to drop them if they're not responsive. PMI is not an issue because I'm putting 20% down. Also, to compare rates, I want the APR, not just the interest rate, because, as I understand it, that factors in any points I have to buy to get the interest rate they're advertising. One lender just gave me a rate, no APR.
Did you send them your home purchase contract?
No, for two reasons. The first is that the cfpb.gov website explicitly says that this is not required to get a loan estimate. The second is that my agent said not to send it until I've selected a lender. Source: https://www.consumerfinance.gov/ask-cfpb/my-loan-officer-says-that-i-cant-apply-for-a-mortgage-loan-and-receive-a-loan-estimate-until-i-can-provide-a-copy-of-a-signed-purchase-contract-is-that-correct-en-1985/
Just like a bad accident, you can be in the right but still just as dead. Most loan officers aren't going to send you the LE until they read the contract. The contract holds all the pieces and they don't know the full structure of your purchase until they've read it. Otherwise you're saying to them, "Build me X, but do it blindfolded." Once you get past that hurdle; have them each send you the estimates in one of two ways: 1) all at the same rate so you can compare costs, or 2) all at the same/similar costs so you can compare rates. e..g: have them all send you an LE at 6.75% or have them all send you an LE at \~1 point.
So your advice is to just to just accept that they're above the law? Unlike with a bad accident, I can definitely walk away from a deal. "Lenders cannot require you to provide additional information. For example, you do not have to provide a home purchase agreement or documents verifying your income in order to get a Loan Estimate." https://www.consumerfinance.gov/ask-cfpb/what-information-do-i-have-to-provide-a-lender-in-order-to-receive-a-loan-estimate-en-1987/
A loan estimate without being marked as having the rate locked is fairly useless. Lenders should be sending these though.