Heard of this Mortgage Program?

[HatDaddy]

link
Curious to see if anyone has heard of it or knows of its' legitimacy.
Thanks in advance.

 

[KazooMan]

I asked my sister, who is a school principal in a Dallas suburb, and she had never heard of it, either.

The firm (according to their fine print) is located in Carrolton. Since they are a Texas firm, call the Consumer Protection Division at the Texas AG's office, and they can tell you if they have had any complaints about this bunch. That's no guarantee of legitimacy, but will at least let you know if there are already a bunch of questions about them.

 

[madscientist]

not sure about that particular site, but there are programs designed specifically for teachers, cops, and firefighters that are offered by the major mortgage banks.

google 'teacher next door' and see if that is the same gvt program being offered. same for 'cop next door'.

 

[bluto]

teacher next door is kind of a crock of ****. dont get me wrong, its a great program, but in Tx there are only like 2 or 3 houses that qualify across the state. would imagine qualifying houses are snatched up in days.

 

[Bernard]

This is nothing more than a Realtor / Mortgage Broker referral program. All they are doing is chipping in some of their commission to cover some of your closing costs when you buy a home. This is really no big deal at all.

Right off the bat, some of their information is quite misleading. Here is a list of "savings" they say you will get by using their program:

Lender Credit Check (the official credit score) --- $35.00 ---- no big deal, only $35.

Title Insurance (to protect you against claims) --- $1100.00 ---- The title insurance policy is usually paid for by the seller. If you get a mortgage, your lender will require a mortgagee policy, but that usually only costs the buyer $100 or so, regardless of the price of the house. Very misleading.

Transaction Fee (to handle all details of closing) $795.00 ---- This is just a made up fee on their part. You wouldn't pay for this in a typical home buying scenario.

Home Inspection (unbiased report on your home) $300.00 ---- no bid deal

Wood-Destroying Insects Inspection (termites, etc.) --- $75.00 --- no bid deal

Appraisal Fee (independent value of property) $350.00--- no big deal

Residential Service Contract (home warranty) $360.00 ---- no big deal

No Buyer’s Side Commission (3%)* ---- $4,500.00 ---- This is misleading as well. They act like they are saving you $4,500, but this fee would almost always be paid by the seller anyway.

Closing Cost Assistance ---- $4,500.00 ---- This is just completely made up. They list "closing cost assistance" as a cost to the buyer??? What does that even mean? The are going to save you $4,500 by not charging you for closing cost assistance? Huh?

All they are saying is that if you let them be your buyer's agent AND mortgage broker, they are going to chip in cover $1,000 or so of your closing costs. NO BIG DEAL.

Bernard

 

[madscientist]

if thats the fees that they are listing as being covered, then its just a gimmick. and, the home warranty is usually paid by the seller as well.