<em>you can relock your rate anytime you want. you can and it is possible. don't believe them. i have worked in the loan industry. the only reason they don't want to is that they lose money. since they got you in a higher rate. i use to do second and third loan and it was a shady business and i known people who qualify for say 9% but we told them no you only qualify for 15% and that was that.
</em>First off, you are talking about two different worlds of lending. And, second, the whole lending world has gone through a very dramatic change, and anyone who has worked in the industry prior to last week, wouldn't know all the constantly changing guidelines. A second mortgage with a way higher rate than par, to get the YSP on the back end, is a whole lot different than a Fannie Mae conforming loan at a rate 5.5%. So, you want them to either A.) have them eat $5k, that really isn't your money to begin with, or B.) have them move lower on the rate sheet, or C.) have them relock your loan at current market? With A.) they should tell you to go pound sand. They already got an exception for the HOAs, and that probably cost them to do that. And, it is Lennar's money, not yours. With B.) Again, you want them to eat money, that they have probably already eaten for you for the HOA exception? And, knowing of the lending changes, they would have to get the loan re-underwritten, so your HOA exception will no longer be valid. With C.) a relock costs money, and you wouldn't get your $5k worth, so they are not going to do it. Again, your HOA exception would no longer apply.
<em>so they offer me my deposit back less any third party fees. so the ball is now in my court.
</em>Not really. When they actually have the guts to offer a deposit back, it is a sign that they would rather try to sell the home to someone else than deal with you. Sorry if that sounds harsh, but saying that, is the last thing they want to say. It offers way too much opportunity for you to say yes. So, either they were hoping you said yes, or they now know the ball is in their court.
The money wasn't your money in the first place, it was Lennar's. You chose to lock your rate when you did, not with your money, but Lennar's. So, you want Lennar to give you money, that they already spent on you? They made a mistake, they fixed it, and it probably already cost them, so you should be happy, not greedy. Like GrewUpInIrvine said, what are you going to do, when they drop the price $25-$75k to make the quarter end numbers? Will you want them to give you a bestbuy gift card for that amount?
Buying a new home is stressful. You need to decide when to lock your loan, lending guidelines change, and a few construction errors, all of which are part of the process. Unfortunately, you are not the only one who has had to deal with this. But, I think you are making it more stressful than it should be, especially when it is not your money being lost here.
