Do you need and FHA loan....be prepared

Reblogger
Mortgage and Lending with All Western Mortgage Broker # 14210

 true story but very funny.......

Original content by Dana Devine

Part of rebuilding New Orleans (after Katrina) often caused residents to be challenged with the task of tracing titles to their homes... back potentially hundreds of years. With a community rich with history stretching back over two centuries, houses have been passed along through generations of family, sometimes making it quite difficult to establish ownership. Here's a great letter an attorney wrote to the FHA on behalf of a client:

You have to love this lawyer ........

A New Orleans lawyer sought an FHA loan for a client.. He was told the loan would be granted if he could prove "satisfactory title" to a parcel of property being offered as collateral. It took the lawyer three months to track down the full title to the property which dated back to 1803. After sending the information to the FHA, he received the following reply.

(Actual reply from FHA):

"Upon review of your letter adjoining your client's loan application, we note that the request is supported by an Abstract of Title. While we compliment the able manner in which you have prepared and presented the application, we must point out that you have only cleared title to the proposed collateral property back to 1803. Before final approval can be accorded, it will be necessary to clear the title back to its origin."

Annoyed, the lawyer responded as follows:

(Actual response):

"Your letter regarding title in Case No.189156 has been received. I note that you wish to have title extended further than the 206 years covered by the present application.
I was unaware that any educated person in this country, particularly those working in the property area, would not know that Louisiana was purchased by the United States from France , in 1803 the year of origin identified in our application.
For the edification of uninformed FHA bureaucrats, the title to the land prior to U.S. ownership was obtained from France , which had acquired it by Right of Conquest from Spain .
The land came into the possession of Spain by Right of Discovery made in the year 1492 by a sea captain named Christopher Columbus, who had been granted the privilege of seeking a new route to India by the Spanish monarch, Queen Isabella.
The good Queen Isabella, being a pious woman and almost as careful about titles as the FHA, took the precaution of securing the blessing of the Pope before she sold her jewels to finance Columbus 's expedition...
Now the Pope, as I'm sure you may know, is the emissary of Jesus Christ, the Son of God, and God, it is commonly accepted, created this world.
Therefore, I believe it is safe to presume that God also made that part of the world called Louisiana . God, therefore, would be the owner of origin and His origins date back to before the beginning of time, the world as we know it, and the FHA. I hope you find God's original claim to be satisfactory.

Now, may we have our damn loan?"

The loan was immediately approved.

Posted by

         Kenny Salame                                                                                                  Equal Housing

Kenny Salame
Senior Loan Officer
All Western Mortgage Inc.
8345 W. Sunset Rd.
Suite 380
Las Vegas, NV, 89113
US                            
Mobile: 702--506-3301
Direct: 702-947-0609
Office: 702-369-0905
Fax: 702-952-0887
ksalame@allwesterm.com
 
 
 
 
 
 

Comments (2)

Robert Rauf
HomeBridge Financial Services (NJ) - Toms River, NJ

John, that is an oldie, but a goodie that actually dates WAY back before Katrina.  I bet the attorney had fun writing that letter and rubbing their noses in it!

May 14, 2010 03:43 AM
Kenny Salame
All Western Mortgage Broker # 14210 - Las Vegas, NV
NMLS ID 313873

Robert, thanks for the info. It does show how absurd the document trail can be from Government employees.

May 14, 2010 03:50 AM