We looked into a refi on our house & property and were approved although no documents were ever signed.Part of the process was a property apprisal but was really a home inspection.The house has a cedar shake roof which was in need of repair (finished).This was noted on the report a roof inspection was required for the bank.We knew before all this started that roof was being repaired before winter.If we had been told ahead of time this would hold up the refi.we would not have looked into it.Are we legaly obligated to pay for this apprisal with what information they provide to us?
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Thanks kombi943

Are you positive you never signed anything when applying?

Who ordered this "appraisal". Did you fill out an application for the loan?

No,Nothing was ever signed.The apprasial was part of there loan process,something they wanted.We did receive a big loan package requesting we sign and return but we never did.

My thoughts are to ask them to show were we are obligated to pay for this when they did not disclose the impact of the apprasial/inspection
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Thanks Kombi943

No ,nothing was ever signed.They sent a loan package w/ a hand full of documents to sign at the same time the apprasir showed up.It was part of there process.

My thoughts are ask them to show were we are obligated to pay for this.Less than full disclouser on there part.
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Thanks Kombi943

Again, did you apply for the loan? How did the process get started.

Who called the inspector to set up the date/time? He who calls pays

yes, did you set up the inspection, that is the real main issue.

Also? Of course you would know that a roof not being fixed would lower the value of the home, anyone knows that, and that at this time home values are so low anyway, it is hard to get a refi because of home values are less than old mortages.

So of course you should have had it fixed first if you were close to the value needed to get a loan.
And will you get a new inspection or lower cost discount on second inspection once the roof is done ( all the other things already inspected ?_

We looked into a refi on our house & property and were approved although no documents were ever signed.Hello k:

In the legal world, what you DO, rather than how you couch what you DO, matters... If all you did was "look into" a refi, an appraisal would NOT have been ordered. "Looking into" a refi would be calling a broker and asking him what his rates are... Since an appraisal WAS ordered, it's my guess that you did MORE than simply "look into" it.

If, however, ALL you did was "look into" it, and didn't APPLY for the loan, then you are NOT obligated to pay... You can't be charged for doing that. But, if you filled out an application and SIGNED it, then YOU started the loan process, and you ARE obligated to pay for the appraisal.

excon

Hi Excon,We did not fill out any application.They checked our credit scores,verified incomes etc. They were shopping the refi to differnet lenders and no rates were quoted and NO papers signed

No they did.

SG, We checked w/ several institutions looking at different rates.
We inquired about the refi. Options. They sent the loan package in the mail the same day the inspector arrived.

First please don't use the comments feature for follow-up. Use the Answer options instead.

You really need to detail what the process was because you are giving conflicting information and not answering questions. Who did you inquire with? Who did the shopping around? Who ordered the appraisal. What exactly was the process in chronological order?

Hi
1 Banks & credit unions
2.We did,comparing rates & fees
3.They did as part of there process
4.credit score,income verification,&assets (we provided this info to all which we had assembled ahead of time)
No papers were signed at any of the institutions
Thanks kombi943

Yes

I'm going to try this one more time. You are still not being clear who the "they" is that you have referred to. You are not being clear as to what process you went through.

Generally, when one wants to do a refi, they first contact THEIR current lender for rates and terms. They may then either contact a mortgage broker or individual lenders. Before a lender starts processing a loan, there is an application that generally needs to be completed. That application could be done over the phone or on the Internet. The completion of an application, even without a signature is considered permission to proceed with the process.

So you need to be ABSOLUTELY clear about what process you have gone through and who has done what if you want our help. Short answers, especially without reference to what is being answered doesn't help us help you.

ScottGem,I thought I answered that on 11/6 to your earlier question.Maybe a better choice of words would be" application process" which I listed in order.
We were still comparing rates & terms w/other lenders when the papers and appraiser arrived.We had papers from several institutions.
We were approved by several banks& credit unions but chose not proceed. They had "verbal authorization" to proceed to point seeing firm #'s

Reading everyone's comments it look like we could end up paying this.
Thanks to for taking time to comment
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Kombi943

So you applied, independently to several lenders. Some of them sent paperwork after issuing an approval and one of them actually went so far as to send an appraiser?

Hi ScottGem, Yes to your question.
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Kombi943

Hello again, k:

Here's your answer... I have the feeling YOU don't understand the process any better than WE do at this point... In spite of being asked, you have NOT delivered facts that would allow us to make a legal determination... What's troubling us, is that, in the normal course of events, lending institutions, do NOT order appraisals unless they have the buyer's WRITTEN approval... Now, THIS lending institution might not have done that. I don't know. Plus, you say they checked your credit rating out, and that too, CANNOT be done, by LAW, unless they have your WRITTEN approval for doing so... Yet, you INSIST that you didn't sign anything...

Well, that's the key. IF you signed the loan application (and I think you DID), then you are obligated to pay for the appraisal.. If you didn't then you aren't...

So, write a certified letter to the lender and ask to SEE of copy of your signed authorization ordering the appraisal... If they send it, you're toast. If not, then tell them that the appraisal is on THEIR dime, and if they insist on collecting from you, and possibly ruining your credit rating, you'll SUE them.

excon