We have an applicant that wanted a Tx Home Equity on her existing home in order to purchase a new home. Now, due to circumstances with the seller of the home she is buying, she is thinking of changing to a purchase of the new home and not doing the HE at all. Is there any way this would be a changed circumstance and we handle as such? My 1st reaction is that this is a withdrawn request and a new purchase application, but I could be wrong. Of course we are trying to help her find as quick a close as possible, but I don't think that can happen.

Hi neighbor!

I don't have a reg to back this up, but I would think since you're dealing with a new property, new purpose, & new loan program (at least at our bank), it would be a withdrawn application for the HE & a new app for the purchase. That is how we would handle it. Since the only time restraint on closing a purchase loan is the 7 day period after providing the LE, you should still be able to close quickly - considering you get your appraisal back in a timely manner.

Thank you, Taylor! We are completely on the same page and that is how I advised they handle it. I like to get some affirmation on some of these things, though.

Howdy! If west Texas is anywhere close enough to be a neighbor to east Texas.....that's a fer piece away!!....then I am also a neighbor. LOL And I agree, cleanest to just withdraw the original application and start over. I think you could use the same application form so the customer won't have to do all that again....just re-date it for a received date for your new loan and put a quick memo to the file about it.

Thank you Swiggles, and yes, anywhere in Texas is close enough!! That is exactly what we are doing. New received date. Adding GMI doc and memo to file. I think we have covered all the bases.

Make that "new request received date".