Period of time to think about the loan offer

EZ26

Hi,

I'd like to ask your help to understand the following sentence I've read on a mortgage letter of offer:

"You have 30 days to reflect before committing yourself to taking out this mortgage loan."

It doesn't make any sense to me, because after 30 days it's more than probable that the purchase has not been completed and many times it doesn't go through for many reasons.

At that point would be one forced to get the loan without house?

Could you please help me understand this?

Thanks

Cilar

Isn't it 30 days you have to sign the letter, not to draw the money? Also, I don't think you're committing to anything, if there is no house, there is no money. they won't give you the money without a house, as it's their security.

EZ26

Hi Cilar,

yeah it says 30 days to sign the letter, but it's the "before committing yourself" that doesn't make any sense.

As you said I'd presume that no house = no money.

Could they force you to search for another property and use the loan for that?

Thanks