Refi- when are you COMMITTED to proceed, and can't shop?

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togb
Posts: 236
Joined: Mon Oct 23, 2017 8:36 pm

Refi- when are you COMMITTED to proceed, and can't shop?

Post by togb »

I thought I chose a lender. Submitted all my docs, it went to underwriting. Then nothing happened. I follow up a few times. Finally am told underwriting takes 10-12 business days. Today is day 15 and I have not heard a peep.

I signed a few forms in order to be ready for underwriting. I find language that says I have intent to proceed, and that I'm applying but not that I'm committed. So I sent the estimate to Better, since he said he'd beat it by $100.

Just want to cover my bases.... am I missing anything that would indicate I'm committed and must stick with the first lender?
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8foot7
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Joined: Mon Jan 05, 2015 7:29 pm

Re: Refi- when are you COMMITTED to proceed, and can't shop?

Post by 8foot7 »

Midnight of day 3 post closing.
More realistically, before closing. You're never committed.
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BrandonBogle
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Joined: Mon Jan 28, 2013 11:19 pm

Re: Refi- when are you COMMITTED to proceed, and can't shop?

Post by BrandonBogle »

8foot7 wrote: Fri Oct 16, 2020 8:11 am Midnight of day 3 post closing.
More realistically, before closing. You're never committed.
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Topic Author
togb
Posts: 236
Joined: Mon Oct 23, 2017 8:36 pm

Re: Refi- when are you COMMITTED to proceed, and can't shop?

Post by togb »

8foot7 wrote: Fri Oct 16, 2020 8:11 am Midnight of day 3 post closing.
More realistically, before closing. You're never committed.
Thank you! Appreciate this. I thought that was the case, but did not want to make a stupid/costly mistake.
armeliusc
Posts: 376
Joined: Wed Dec 21, 2011 9:40 am

Re: Refi- when are you COMMITTED to proceed, and can't shop?

Post by armeliusc »

In your case I would definitely shop for another lender. You are not bound to use this lender until 3 business days after closing, legally. Although I'd try to avoid cancelling and burning bridges for small things. The commitment proceed is a "good faith" commitment, but if you feel the other party is not doing their job correctly, then sure you're free to tell them to stop processing.
Bruse213
Posts: 8
Joined: Tue May 28, 2019 9:45 pm

Re: Refi- when are you COMMITTED to proceed, and can't shop?

Post by Bruse213 »

If you've had an appraisal waiver or no fees up until this point you're free to shop and work with the lender of your choice. If you've already paid for an appraisal out of pocket it might be worth waiting for an update from them.
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