We went to Texas Lending in September of 2010 to refinance our home. At our first meeting with a loan specialist, her parting words were that we would close in two weeks.
In two weeks, we were asked for more information and then promised a closing date of the following Friday. When Friday came, there was some explanation of paperwork not getting to the title company on time and that we would look at the next Friday.
This pattern continued through October and November, until we finally called Texas Lending and asked to speak to this lady's supervisor. It was only then that we found out that every week since Sept. of 2010, our home had been rejected for refinancing by various lenders.
The reason the supervisor gave us was that our property had agricultural evaluation for property tax purposes. Duh. We pointed that out on day 1 of this adventure, asking right up front if this would be a problem. No, they said. Our income, savings and so forth all made us a "great package" and they were sure some lender would take us. NOT.
We know financing ag land is not a piece of cake. That is exactly why we went to Texas Lending, thinking that they worked with many finance companies and would have knowledge of which ones would accept ag property. But believe it or not, though they must place thousands of properties with lenders each year, their employees had not the slightest inkling that ag property might be different, nor did they have any idea which (if any) of their lenders would finance ag land.
So, they tried a new lender each week, and each week we were rejected, and NOBODY even told us this for 2 months. When the supervisor finally admitted the problem, he asked us to remove the property from ag valuation in order to place the loan. We made several trips to the County Assessors office and made requested changes - still no loan - because now it USED TO BE ag land.
Here we are, six months later: no loan, and now the market rates have gone up from the 3.8 they promised us to their newly advertised rates of 4.75 or 4.94% This six months will literally cost us thousands over the life of our loan.
My message to Mr. Kevin Miller - Train your people about ag land. Find out if you represent any lenders that will finance ag land. If you do not have any lenders that accept it, then tell your folks to turn away prospective customers who ask you to finance ag land. Do not waste our time and money.