Not all mortgages are approved. Generally buyers are pleased to let you know that they have been approved. They often do not readily publicize a negative response. As sellers you have waited many weeks, perhaps begun to move forward with your future plans. A mortgage can be very disappointing to all parties. What do you do?

There are several possible reasons for a declination. Maybe the buyers credit is less than perfect. Are there errors on their credit record that can be corrected? Are they eligible for a mortgage with less stringent standards possibly at a higher rate? Will a cosigner overcome the problem? Maybe the problem has to do with their finances. Are all the buyers’ assets verified? Is all their income shown? Would an alternative mortgage program work for them? Maybe the problem is that the appraised value came in too low. What were the comparable sales that were used? Is the market rising or declining? Would a second appraisal help? For each problem there are actions that can be taken to overcome the problem.

If you find yourself in such a situation, either as a seller or buyer, you may benefit from the experience and knowledge from someone who has faced your problem before. Click: Mortgage_Rejection@stamfordridges.com