Posted by DMcGehee.SF on May 19, 2009 at 21:52:04:
In Reply to: Loan Contingency-Multi-Unit posted by Edwin on May 19, 2009 at 09:39:56:
It certainly happens on the commercial side. A friend of mine, who is very experienced and has a strong reputation just had it happen.
The bank initially told him that he had to bring over additional deposits (his personal accounts were at a different bank) in addition to the property account they initially agreed on. Then after he agreed to that, the lender then got cold feet and cut back the loan amount. Two weeks before the close the lender backed out.
He instantly called up some of contacts in the lending industry and was able to arrange interim financing until permanent can be obtained.
I will ask him what kind of financing contingency, if any, he had in the contract.
- Re: Loan Contingency-Multi-Unit Edwin 13:10:08 05/22/09 (0)