Saturday, June 8, 2013

HONESTY --the best policy

We went under contract. The loan was being processed. I had turned in almost all of the papers for our grant and it was being reviewed with the missing papers. I thought everything was moving along smoothly with buying our home.

Yesterday our loan officer called me. The first thing he said was he had bad news. My first thought was interest rates had spiked super high and now we won't qualify for the loan because we have not locked in a rate yet. But I didn't jump to conclusions and just listened to his explanation. It turns out it had nothing to do with interest rates. It was the grant.

I still have to turn in two papers for our grant application to be complete. The first was Casey and I had to sign the copy of our taxes. Easy. We just didn't think to sign it because we submitted everything electronically and assumed the electronic signature would show on the printout. The second is a form called the buyer/ seller certification.

The buyer/ seller certification.

Generally, it would not be that hard to turn this in either. The seller signs the form which states we are applying for a grant. Truthfully, I don't even understand why the seller has to know this because it doesn't affect them at all but that is the city's rule. But our situation is different. There is no seller--our house is government owned. And everyone involved on the government's side of things refuses to sign it. My agent has talked to countless people trying to find anyone who will sign the form. And no one will sign it. They even emailed our agent part of their rules & regulations handbook which states they will sign absolutely no forms other than their own contract.

Everyone knows this. All loan companies know this and there are some of our loan forms that generally the seller will sign as well. But they don't even try to have them signed when the seller is the government. So... everyone knows this except the city we are moving to.

The city will not accept the form without a signature. Our loan officer has talked to the person in charge of the city grants over and over. The city claims that they have never had a problem before even with other people applying for the grant with a government owned house. The form has always came back with a signature. The loan officer pursued it and tried to understand how government owned houses had a signature in past cases. Finally he was told by the city that they don't check it. As long as there is some form of ink on the seller's line, they don't care.

Lovely. If any of us were willing to scribble something on the line, we would qualify for the grant. But our loan company and agent are both extremely honest--a characteristic trait that is absolutely needed in this home buying business! And we are not willing to commit mortgage fraud either. But because all the previous government owned houses grant applications came back with something scribbled on the line, they refuse to accept ours without it.

I don't know how things will work out right now. But I do know that we will be blessed for being honest. On Monday, we are going to pursue calling other city offices, including the major and city council, to hopefully find a way around the required seller signature. We should be able to write on the line "government owned" and have that waive the requirement. 

This entire house process is a constant pleading with the Lord. We are praying that hearts will be softened and that through miraculous means we will be awarded the grant. He has answered our prayers before, we know He will answer them again. We just don't know how at this point....

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