ALL LENDERS ARE NOT CREATED EQUALLY
I recently experienced a situation where the title of this blog "all lenders are not created equally" proved costly to the home buyer.
A past client called me about her son who was trying to purchase a second home. At this stage he had found the home and written a contract with what he deemed a "preapproval" from a lender. Having a good deal of trust in me the mom said she would ask her son to contact me. When I followed up again in a few days she told me her son's real estate agent told him they would have to negotiate the contract again if he changed lenders so he was afraid to do so.
About two weeks later I received a call from the mom saying now the lender wants her son to buy the home as an investment, not a second home, requiring a much bigger down payment. I assured her again that this was not necessary and her son should contact me.
A few more days went by and I received a text saying the son was afraid to upset the apple cart and was just going to put down the necessary additional funds to treat the property as an investment.
In this scenario the home buyer put down funds he did not need to put down and was being led by a real estate agent who did not have his best interest in mind. Not every lender has the same programs or even ALL the programs. As a mortgage broker I have a variety of programs and lenders.
Moral of this story: Sometimes when you aren't getting the right answer from the lender you are working with, then take your mom's advice. Your mom is most likely the person who does have your best interest at heart! All lenders are not created equally.