NPR interviewed a would-be Brooklynite named Claudia who is trying to buy an apartment for herself and her teenaged sons. Everything seemed settled, when all of a sudden the lender that was going to be offering Claudio her HELOC loan decided they didn’t really want to anymore.
Her interest rate jumped up 2% in 2 days, and now Claudia doesn’t qualify for her mortgage at all. Time to find a new, cheaper apartment? Well, she’s already signed a contract and forked over $160,000 in cash as a deposit.
Hope it works out, Claudia.