Seek For Your Help Urgently

[dorahifi 0]

I signed the OTP about 2 month before, and the exercise completion date is scheduled on 1 Aug 2011.

Already get Bank A for my loan, as the bank said before, their valuation can meet the selling price.

But only 2 days before, my lawyer told me the bank did a valuation to the condominium, and found some cracks on the wall etc. They already got the Professional Engineer evaluation report from the Condo Management and sent to the bank. Now the bank is reviewing. Although the condo management said the cracks has nothing to do with my unit. Bank will still review it.... And this will take time!

My exercise completion date is just in the corner. Lawyer told me if the bank decide not to proceed with the loan, unless I can solve the financing problem by myself, I may loose the money I have paid the seller, which is 5% of the total selling price...

God, I really feel frustrated about that. Anyone encountered this before? And what should I do if the bank really reject or resize the loan package?

Thanks in advance.

[dorahifi 0]

I signed the OTP about 2 month before, and the exercise completion date is scheduled on 1 Aug 2011.

Already get Bank A for my loan, as the bank said before, their valuation can meet the selling price.

But only 2 days before, my lawyer told me the bank did a valuation to the condominium, and found some cracks on the wall etc. They already got the Professional Engineer evaluation report from the Condo Management and sent to the bank. Now the bank is reviewing. Although the condo management said the cracks has nothing to do with my unit. Bank will still review it.... And this will take time!

My exercise completion date is just in the corner. Lawyer told me if the bank decide not to proceed with the loan, unless I can solve the financing problem by myself, I may loose the money I have paid the seller, which is 5% of the total selling price...

God, I really feel frustrated about that. Anyone encountered this before? And what should I do if the bank really reject or resize the loan package?

Thanks a lot!

[leechaorui 2]

I signed the OTP about 2 month before, and the exercise completion date is scheduled on 1 Aug 2011.

Already get Bank A for my loan, as the bank said before, their valuation can meet the selling price.

But only 2 days before, my lawyer told me the bank did a valuation to the condominium, and found some cracks on the wall etc. They already got the Professional Engineer evaluation report from the Condo Management and sent to the bank. Now the bank is reviewing. Although the condo management said the cracks has nothing to do with my unit. Bank will still review it.... And this will take time!

My exercise completion date is just in the corner. Lawyer told me if the bank decide not to proceed with the loan, unless I can solve the financing problem by myself, I may loose the money I have paid the seller, which is 5% of the total selling price...

God, I really feel frustrated about that. Anyone encountered this before? And what should I do if the bank really reject or resize the loan package?

Thanks a lot!

You can re-negotiate with the seller of the property to explore if there could be some form of mutual agreement to delay the completion of the transaction by another two months. This will give you more time to source for another bank. I have a friend who works as a mortgage consultant and he provides free services to the client and earns a commission given by the bank. In short, the charges that the customer pays is the same regardless of whether the customer uses his services or go to the bank directly.

I think he may be able to help you to quickly search for other possible bank loan while you negotiate to delay the completion of your property. If you wish to engage his help, you can pm me with your hp number. I can link both of you up. There are also many other such mortgage consultants around, you are also free to engage the others for help. What is important now is to defer the completion of the property.

Good luck.

[watchthewaves 0]

Start talking to other banks and get offers from them too, so if really the first bank doesn't want to lend or changes the terms, you have fallbacks.

[HappyHouse88 0]

You have a few issues here.

1) Unable to get loan in time for completion

2) potential loan downsize

Before we start, did you take up any bridging loan with the bank? Are you "tied" to the bank already?

Can the seller wait? How much is the bank willing to lend and when can they give you an answer?

How much are you short? Could you get the excess cash/cpf buy roping in another "buyer" ?

Edited July 22, 2011 by HappyHouse88

[dorahifi 0]

You have a few issues here.

1) Unable to get loan in time for completion

2) potential loan downsize

Before we start, did you take up any bridging loan with the bank? Are you "tied" to the bank already?

Can the seller wait? How much is the bank willing to lend and when can they give you an answer?

How much are you short? Could you get the excess cash/cpf buy roping in another "buyer" ?

Thanks for your reply. I didn't take any bridging loan with the bank. Since both the bank & myself have signed the facility letter / offer letter, in the sense we already tied together. But lawyer is saying the bank still have the right to evaluation the unit and make certain changes to the loan agreement.

My lawyer is checking with the seller, but haven't received any reply.

But as I feel, the lawyer is not acting on me. They actually are protecting the bank and themselves. They even don't care to sacrify my intrests. Whenever I asked them, they just mention unfortunately... now all depends on the bank. Let's finger cross.....!

[dorahifi 0]

You can re-negotiate with the seller of the property to explore if there could be some form of mutual agreement to delay the completion of the transaction by another two months. This will give you more time to source for another bank. I have a friend who works as a mortgage consultant and he provides free services to the client and earns a commission given by the bank. In short, the charges that the customer pays is the same regardless of whether the customer uses his services or go to the bank directly.

I think he may be able to help you to quickly search for other possible bank loan while you negotiate to delay the completion of your property. If you wish to engage his help, you can pm me with your hp number. I can link both of you up. There are also many other such mortgage consultants around, you are also free to engage the others for help. What is important now is to defer the completion of the property.

Good luck.

If I search for other banks, am I necessary to use back the same lawyer firm? Since the lawyer firm have most of my initials, as well as the OTP.

I am trying my best to hold the completion date.

[godloveyou 0]

I signed the OTP about 2 month before, and the exercise completion date is scheduled on 1 Aug 2011.

Already get Bank A for my loan, as the bank said before, their valuation can meet the selling price.

But only 2 days before, my lawyer told me the bank did a valuation to the condominium, and found some cracks on the wall etc. They already got the Professional Engineer evaluation report from the Condo Management and sent to the bank. Now the bank is reviewing. Although the condo management said the cracks has nothing to do with my unit. Bank will still review it.... And this will take time!

My exercise completion date is just in the corner. Lawyer told me if the bank decide not to proceed with the loan, unless I can solve the financing problem by myself, I may loose the money I have paid the seller, which is 5% of the total selling price...

God, I really feel frustrated about that. Anyone encountered this before? And what should I do if the bank really reject or resize the loan package?

Thanks a lot!

Something amiss leh!

Once the facility letter is signed (with agreed amount)between both parties, it is a legal document which has law binding effects. Read the letter carefully again. Especially UOB's 6-pages of those small prints.

The valuation must have done before issuance of such doc with study of your earning power & creditibility/liability history.

Imagine situation that such letter signed and before completion, the property unit was some how damaged by the Acts of God to certain degree. Can bank say wait, hold the disbursement first, re-evaluation.....??? There is no such thing.

Remind your lawyer to hold the bank to be responsible for the possible damages done if agreed terms are not carried out in time.

Bank has rights to cancel the mortgage loan at its discretion, but must pay damages and Common Laws protect the minority power.

[godloveyou 0]

If I search for other banks, am I necessary to use back the same lawyer firm? Since the lawyer firm have most of my initials, as well as the OTP.

I am trying my best to hold the completion date.

Silly.!

From filling up application form, credit/liability check, valuation, take at least 2 wks. That's I always say the 14-day from "booking fee" to "OTP signing" is not "long enough", for resale cases.

Do you understand what is called "cancellation of mortgage loan". You need to pay 1.5%(if i recall correctly)of the loan amount. Read the letter!.

Signed letter has legal binding effects = both parties must bear certain reasonable responsibilities to carry out the contract. Once valuation is done, can't be changed!

Are you sure you speak to yr lawyer, or the lawyer's assistant?

Edited July 22, 2011 by godloveyou

[dorahifi 0]

Silly.!

From filling up application form, credit/liability check, valuation, take at least 2 wks. That's I always say the 14-day from "booking fee" to "OTP signing" is not "long enough", for resale cases.

Do you understand what is called "cancellation of mortgage loan". You need to pay 1.5%(if i recall correctly)of the loan amount. Read the letter!.

Signed letter has legal binding effects = both parties must bear certain reasonable responsibilities to carry out the contract. Once valuation is done, can't be changed!

Are you sure you speak to yr lawyer, or the lawyer's assistant?

Up to now, the bank is still reviewing... Really silly!!! They say will give me a confirmation tomorrow morning. But that is only 2 days before the completion date!

I even dare not to imagine... if the outcome is not good.... How I should protect myself?

I do not wish to cancel the mortgage loan unless the bank rejected or resized...

But I have an enquiry, if we cancel the mortgage loan, we need to pay 1.5% of the loan amount. Then what will happy if the bank cancel the loan? Shall they bear any penalty?

[godloveyou 0]

Up to now, the bank is still reviewing... Really silly!!! They say will give me a confirmation tomorrow morning. But that is only 2 days before the completion date!

I even dare not to imagine... if the outcome is not good.... How I should protect myself?

I do not wish to cancel the mortgage loan unless the bank rejected or resized...

But I have an enquiry, if we cancel the mortgage loan, we need to pay 1.5% of the loan amount. Then what will happy if the bank cancel the loan? Shall they bear any penalty?

If bank "resizes" loan amount = breach of fundamental term. Breach of fundamental term would void the contract. This is "first chapter" of business law. Bank's lawyer sure 100% aware of such.

If this does happen, the bank will ask you to sign a new contract of the "revised" amount. Don't sign this, signing such implying your agreeing to the void of the old contract.

Insist on the "old" to remain in force and seek for compensation if bank "one-sided" decide to cease/void the contract.

[dorahifi 0]

If bank "resizes" loan amount = breach of fundamental term. Breach of fundamental term would void the contract. This is "first chapter" of business law. Bank's lawyer sure 100% aware of such.

If this does happen, the bank will ask you to sign a new contract of the "revised" amount. Don't sign this, signing such implying your agreeing to the void of the old contract.

Insist on the "old" to remain in force and seek for compensation if bank "one-sided" decide to cease/void the contract.

I am sad that I still need to write here....

Just came back from Lawyer Firm. Now is 10:55pm....

Yesterday afternoon, the banker called us and said the loan is approved. And since we have been anxious for too long time, we would like to have a written confirmation that our loan is approved. The banker said over the phone that our loan is 100% secured and sent the confirmation to us this morning at around 11:00am. But the confirmation is the same letter as we signed before... the facility letter. As banker explained, that is the approval letter from the bank after their evaluation.

So... we go to buy cashiers order and hand it over to the lawyer firm this afternoon at about 3:00pm. Everything seems okay for us. Lawyer asked us to check with them for collection of keys on 1 Aug 2011, which is the scheduled completion date.

Just this evening at about 7:00pm, I received a call from Lawyer firm again. They said the bank had called them last minute.... Bank would like to have a meeting with the lawyer on next Monday to discuss about my loan case. We were outside at that time and that is really a bomb to us. We rush to the lawyer firm and discussed with them until now....

As lawyer said... they can do nothing but only to entertain the bank's request... Bank want to secure themselves and asked us to sign some additional items.... We have no choice, we signed since we have paid the full amount of what we should paid, and if the loan can not be disbursed on time, we will suffer a lot of loss!

The thing is the bank still hasn't come to the decision whether to disburse the loan or not. All decisions can only be firmed after their discussion on Monday... or even later, who know?

I would like to check with all friends at this forum, does the bank have the right to reject or change the loan on the last day of purchase completion???

I should say if I really got rejected by the bank on Monday....I will do everything I can to sue the bank! It's such a silly process!!!!