Quote:
Originally Posted by bigdog
Do you think all major banks perform this due-dilgence regarding researching if a property falls into a FEMA flood-zone, and require flood insurance?
I can see the mega banks: Citicorp, BOA, TD-Bank performing such review,
but the little Mom & Pop banks like Laconai SB, Meredith Villiage, Profile Bank, etc. I wouldn't think these type of financial institutions, would have the time or resources to perform such a review? Or make it a mandatory requirement.
Thoughts?
Bigdog
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My experience is most of the little banks SELL mortgages once you've signed the bottom line. It might be right away or it might be months or years but expect that could happen to you. We got our mortgage through Citizens Bank and it ended up with Country Wide, who then sold to Bank of America.
It's also my experience, just from what my neighbors went through, that ANY lender can come up with this "need". You are welcome to dispute it. At least by doing so you will have put to rest any doubts you may have as to whether the lender's findings are correct. They are trying to protect THEIR investment - your house - until you have paid it off, at least.