Hi there,
Does anyone review their lender's loan contracts before they have gotten an offer accepted (eg. with a pre-approval in place initially and/or subject to finance/valuation)... ?
My last IP, I bought it with an informal pre-approval in place initially and then with an offer subject to finance (ie. mainly a valuation).
The offer was accepted and went unconditional... and I only got the loan contracts a month later.
Kind of puts you in no-man's land with respect to negotiating certain loan contract clauses with the bank doesn't it!
Come to think of it... this is basically what's happened with all of my purchases!
Suppose you could just ask the lender initially for the contracts they would use if a purchase were to go ahead?
And if you didn't like them you could negotiate with them then about any variations.
And if you made an offer subject to finance you'd make sure you'd seen the varied loan contracts before going unconditional.
Though if you were to go unconditional straight up, there's no guarantee the lender would follow through on your initial informal contract negotations.
In any case, you'd probably have to be a big client to even have a seat at such a negotiating table!
Any thoughts?
Does anyone review their lender's loan contracts before they have gotten an offer accepted (eg. with a pre-approval in place initially and/or subject to finance/valuation)... ?
My last IP, I bought it with an informal pre-approval in place initially and then with an offer subject to finance (ie. mainly a valuation).
The offer was accepted and went unconditional... and I only got the loan contracts a month later.
Kind of puts you in no-man's land with respect to negotiating certain loan contract clauses with the bank doesn't it!
Come to think of it... this is basically what's happened with all of my purchases!
Suppose you could just ask the lender initially for the contracts they would use if a purchase were to go ahead?
And if you didn't like them you could negotiate with them then about any variations.
And if you made an offer subject to finance you'd make sure you'd seen the varied loan contracts before going unconditional.
Though if you were to go unconditional straight up, there's no guarantee the lender would follow through on your initial informal contract negotations.
In any case, you'd probably have to be a big client to even have a seat at such a negotiating table!
Any thoughts?