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View Full Version : refinance is not going to happen



zoestargrove
09-27-2011, 04:58 PM
I'm mad and sick over this. I'm sorry this is long and complicated.

We own 2 properties. We have loads of equity in a rental property and none in our primary residence. We were told the only way to refinance our primary residence was to refinance the rental and take money out and apply it to the primary residence. We hate doing this because we have only 5 years left on the duplex and are paying the remaining balance down signficantly each month, but the savings we would have overall from refinancing both properties is too great.

so, we handed over $900 for 2 appraisals and I still cannot refinance (and I'm out $900!!!!)

The appraiser said that we have an illegal apartment in our primary residence. The apartment was there when we bought the house 7 years ago. We have documentation (from the town, but not a building permit) that says the apartment was built and assessed when the house was built in the seventies. Our lawyer told us it was grandfathered, but we didn't get anything from him in writing. When we bought the house, it was appraised, inspected and purchased and no one said anything.

It looks like the only thing we can do is to appeal to the zoning board.

It's just soo frustrating to have excellent credit, a combined assessment of the properties that is double what we owe and not be able to get a lower interest rate there by lowering our monthly payments at a time we desperately could use it. Just last week my employer cut our salaries by 20% and I'm afraid the company will be going out of business.

elbenn
09-27-2011, 05:28 PM
I'm so sorry. I bet your lawyer knows more about it than the appraiser. Even if you don't have anything in writing, since your lawyer reviewed the transaction, your lawyer probably can look at his file and determine that the apartment was grandfathered in. Maybe the lawyer could talk to the appraiser? It seems to me that if the lawyer is correct and the appraiser is incorrect, the appraiser should pay for any lawyer fees to clear this up or to reduce their appraisal fee to compensate for any lawyer fees.

larig
09-27-2011, 06:08 PM
Oh, I am soooo sorry! How horribly frustrating. did he say what exactly was illegal about the apt? is it that you have one, something about the entrance to it? windows? I guess I'm asking if something can be done to make it legal so that you could refinance? :grouphug:

wellyes
09-27-2011, 06:16 PM
$900 -that sucks. I'm sorry.

zoestargrove
09-27-2011, 07:18 PM
it's the entire apartment. The house is zoned single family.

I'm going down to the clerk tomorrow to see if I can get a copy of the building permit. They couldn't located 2 weeks ago when this all began and said something about documents damaged in a flood.

I'll call the lawyer we used too and see if he can help.