I’m having a problem with one of my loans. Why is that a surprise when anything can go wrong during the process of making a mortgage loan? The client, McWilliams, failed to tell me that he’s delinquent on his taxes. Since the taxes are more than two years old, the investor considers the tax default as a foreclosure for the purposes of underwriting. Well, well… that means my poor client (both figuratively and literally) have to come up with $3,550 before he can sign the loan documents.
At least McWilliams is cooperating. I told him he has three options: 1. Cancel the loan; 2. Come up with the money to pay the tax debt off; 3. I find another investor who’ll most likely charge him a higher interest rate. Both options one and two are out. So, I have to find another investor. Unfortunately, there are very few investors that will loan money to manufactured properties. The VP thinks the company may be able to make a short-term loan. The CEO just has to look at the loan package first. Great… I’m getting the CEO involved. Ah well, his commission is riding on the deal, too.