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#1991689 - 01/28/15 03:40 PM Good Faith Estimate Changed Circumstance
JLynch Offline
New Poster
Joined: Mar 2014
Posts: 21
If a GFE is issued showing a $450 appraisal fee and after the appraisal is ordered you find out from the appraiser that this is a difficult property to appraise and he requests an increase in the appraisal fee can you issue a new GFE with the higher amount?

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#1992067 - 01/29/15 01:52 AM Re: Good Faith Estimate Changed Circumstance JLynch
Rocky P Offline
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Joined: Jun 2003
Posts: 7,650
Florida
NO! - there is no change in circumstances.
_________________________
Integrity. With it, nothing else matters. Without it, nothing else matters.

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#1992143 - 01/29/15 03:28 PM Re: Good Faith Estimate Changed Circumstance JLynch
JLynch Offline
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Joined: Mar 2014
Posts: 21
This information was unknown at the time of application and this is what I found on it after presenting this question. "if it is determined that an additional service such as.....an upgraded appraisal is needed that this could be considered a changed circumstance" Also found that if fees are increased because of information unknown at time of application that this is also reason for changed circumstance. In this case it turned out that the property was on water and had other features that we were not aware of.

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#1994794 - 02/10/15 02:41 PM Re: Good Faith Estimate Changed Circumstance JLynch
Rocky P Offline
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Joined: Jun 2003
Posts: 7,650
Florida
I agree with you that a changed circumstance could include - "(3) New information particular to the borrower or transaction that was not relied on in providing the GFE;"

However, as a follow-up, unless the application was taken on-line, how could someone apply for a loan and "forget" to mention that the property was on the water? If the app was taken by a LO, the LO was not doing their job at all because they need to know all about the transaction to make sure it is properly looked at. If it were mentioned to the LO, and the LO did not write it down, then, IMHO, there is no changed circumstance.
_________________________
Integrity. With it, nothing else matters. Without it, nothing else matters.

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#1996901 - 02/19/15 04:46 PM Re: Good Faith Estimate Changed Circumstance JLynch
JLynch Offline
New Poster
Joined: Mar 2014
Posts: 21
You should know borrowers as well as we do. Sometimes it is like pulling teeth to get information out of them. In this case we were absolutely correct in providing a new GFE. Thank you for your imput though.

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