Bud, thanks for responding!! I am relatively new to investing. On the few houses I have bought and fixed up for profit, I have contacted my mortgage broker who in turn got me a loan (conventionally). I then fixup the property and list it with my realtor. I know this is not the most creative way to buy and sell but I have at least made decent profit on each of them per my financial goal per house ($10k-$15k). The houses I have done so far have been listed on MLS. My broker gets paid well (usually 1 point + placement/bonuses). I just felt he was getting a little too greedy on this one. We did discuss the ‘misunderstanding’, and we are scheduled to close on Tuesday. I will, however, be pursuing other alternatives to my financing for future projects. Any advice is always greatly appreciated!!
Once again, thanks for your help!!
Can anyone refer me to a good local mortgage
broker in Dallas area? I am supposed to close on an investment purchase tomorrow, and my broker has
decided to add a few ‘incentives’ into my HUD1.
Such as an origination point we did not discuss as
well as $3750 ‘total paid items & subordinate financing’ (this is on top of prepaids and normal closing costs).
I am already approved by two lenders!! One for
90% (Countrywide) and one for 95% (Point Source)
for this property.
This is a conventional loan for investment.
Mortgage brokers are to get loans for your buyers. Why are you qualifying for loans yourself? Why do you want the mortgage broker to help you without getting paid?