The borrower's wife was in tears. I felt bad. There was no way to console her.
I had a closing last night. Everything was going smoothly. That is, until the borrower discovered how much his total monthly payment would really be. I stress 'really', because he was told that his monthly payment would be something different -- a much lower amount. It's the only reason that he refinanced with this particular lender.
There are several figures that can make up the total monthly payment -- 'Principal and Interest' being just one of them. And sometimes, that is the only amount the borrowers expect to pay when they refinance.
What they don't realize (or perhaps are not told) is that they may also have to pay taxes, insurance, and perhaps mortgage insurance. Add all of that to the principal and interest, and it's enough to bring anyone to tears.
I did what I could to save the closing. There is only so much that the notary signing agent can do. The borrower signed all of the documents. I will take them to FedEx today to be delivered. In the meantime the borrower will call his loan officer today. So although the borrower signed all of the documents, there is still a chance he will exercise his Right to Cancel.
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