I am a realtor in Florida, I placed and offer for a Countrywide REO through bidselect of which eventually we entered into a contract for purchase... They advertised the home as available for conventional financing and even make the buyer be prequalified through them as far a offering a free appraisal and credit report if you use them.. In my case my client was already pre-qualified through them. The house was advertised AS-IS..My client is a first time buyer and is coming in with 20% down. The house is in pretty good condition although it's missing the appliances as most foreclosed properties, the electric meter was stolen and they did have flp re install it. My client did a self inspection as he new he would be buying the house as-is and since he was getting a good deal is willing to do the necessary repairs himself . So here he is "the buyer" using Countrywide, their title company because that is also forced upon you, they do pay for owner title insurance but you don't have a choice in the matter, so if you want an attorney you have to pay one in addition and they are still going to hit you with closing fees and make you pay seller fees if you don't use them. The problem comes to the loan is approved and about 6 days prior to closing they come up with an appraisal ordered through landsafe, which is the company they use that states a bunch of problems with the property. Looked like a home inspection with dollar figures of cost, but not done by an inspector.. He states that there is an ilegal room added to the house and a bathroom. Well now Countrywide the Lender says we can't give you a loan unless this is taken down and Countrywide the Seller says we cant do anything we are selling as-is.. The left hand doesn't know what the right hand is doing... They advertised the property good for financing yet their own Countrywide Lender wont give a loan on it. The worst part about is the inacuracy of the appraisal itself... The plans for this house does not exist anymore but there were plans filed in the county for remodeling that shows that room as an existing room, and it get's better the square footage on the county records is only off by 70 ft from the appraisers including that roomand according to the appraiser that room is 216 sq ft... So the owners have been paying taxes on this room who knows how many years and because an appraiser suggested this is what they needed to do, and is assuming this an illegal addition, this is what underwriting is telling us. I asked for a second appraisal and they are fixated on this one and said no. So they said the room needs to be removed but the buyer cant do it and the seller "Countrywide itself" says we are selling as-is and wont do anything of which nothing should be done in the first place because the appraisal is totally in-accurate. Meanwhile the buyer has spent all his time, energy, attorney fees, and is out of a lease thinking he would be moving in as he was totally approved. My question is how can Countrywide advertise a home for sale offering financing and then they are basically telling us that we are SOL>>>No one wants to take responsibility and it' s a home that would be purchased, upgraded and made prettier which in return would help the neighborhood value..Does anyone have any suggestions?

Thanks,
Nancy