A weird downside of being declared a Disaster Area

[cthulu2016]

I know someone who lives in an entirely unaffected area of a largely non-affected state whose mortgage re-fi was supposed to go through this week.

They were just informed that since the state had been declared a disaster area a new inspection and appraisal is required. (After doing one a few weeks ago.)

I do get it. To Wells Fargo or Bank of America... hey, all we know is that your state is a disaster area. For all we know the house might not even be there anymore.

But it's still absurd.

Argument #576,598 for local banking.

[KansDem]

1. Do we assume that a fee is required for this new inspection and appraisal?

[cthulu2016]

2. A bank charging a fee? Unheard of!

[SheilaT]

3. Are entire states being declared disaster areas?

Not just those areas that actually deserve it?

[fleur-de-lisa]

4. It doesn't really matter if you start your mortgage with a local bank . . .

it can be sold to whomever without your consent.

I'm a firm believer in banking only with a local credit union. I ditched large banks years ago.

When I bought my house in 2010, I started with a local company. They sold my mortgage twice within a 3 month period after closing. I was stuck with a large mortgage company. I refinanced about 6 months ago for a lower rate . . . same thing happened. I ended up with the exact same large, national company with whom I would NEVER voluntarily do business.