Home Buying in Los Angeles>Question Details

Michelle, Home Owner in Los Angeles, CA

Should I lock my rate with BOFA or a Mortgage broker? Any one know funding times for both meaning who will more than likely close on time?

Asked by Michelle, Los Angeles, CA Thu Feb 10, 2011

I have excellent credit and have narrowed my search down to these two lenders. The sellers lender is the Broker and BOFA is my bank. They are a couple of hundred dollars near one another but I have a daily per diem to worry about. I need to go with a company that will get it done in 30 days or close to! Help any recent experience?

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MIchelle, Use the loan officer that is going to be the most responsive to you. From my experience, BofA loan officers are more like order takers and their internal processing system does not allow the loan officer much control of the processing of your loan file. A mortgage broker on the other hand has more control over the speed of your file until it goes to the lender for underwriting. Even while in underwriting, the mortgage broker can push the file if the have a good relationship with their lender partner. Also, the mortgage broker is probably going to be compensated more than the BofA loan officer. This is important in the fact that they have more to gain, or lose, and therefore will probably work harder for you. Just my 2 cents. Good Luck!
1 vote Thank Flag Link Thu Feb 10, 2011
Hi Michelle:

Do you personally know the Broker or have track record of their performance? it is difficult for anyone to give you a better answer without details. Just to let you know that I've had great results with a Wells Fargo team, who has closed an escrow for our clients within 2 weeks when BofA fell out. If the loan does not close by the designated time and it is their fault, they will actually pay for 1 month of your mortgage. Now that is faith and quality at its best. Contact me if you like to give that team a try. (626) 715-0992
0 votes Thank Flag Link Fri Feb 11, 2011

your best bet is to ask how long the person has been working with the company they are with and ask for references you can call to confirm they have closed in 30 days or less ,

i would not work with anyone if it is less then two years expereience with the same company. you would not want them learning on your file this could cause you a lot of grief

it is the mortgage business and nothing is a deal till it closes

you could call me if you want discuss further i am very knowledgeable on both sides i worked for bank of america for 5 years and worked for a mortgage broker for 2 years and also worked for non federally chareted bank for one year i have been around the block a few times 516.233.4842
0 votes Thank Flag Link Fri Feb 11, 2011
If you are not in love with B of A, we are a Correspondent Lender with Chase, Flagstar, GMAC, Sun Trust, U.S. Bank and Wells Fargo. Regardless of which one you choose if you submitted your application today, the anticipated date for funding is 3/15/2011. You can also see today's rates on my website, along with the added-value that we perform that may save you thousands.

Happy funding, Rudi
Web Reference: http://www.umboc.com
0 votes Thank Flag Link Fri Feb 11, 2011
Bank of America is notorious at taking a long time to close escrow. I haven't seen them close on time very often. I would probably use the Broker as long as they are reputable and you feel comfortable with them.
0 votes Thank Flag Link Fri Feb 11, 2011

I agree with Jerry below. Go with the lender who is most accountable and responsive. It is very tough to go wrong in those situations. I would love to solicit your business as well, but I think for your stress level's sake, you've done enough thinking about this and you've found your match. I will just say that if you have any questions, feel free to ask and I'm happy to help. I'm a direct lender in CA and I'm with RPM Mortgage.

Best of luck!

Rob Spinosa
0 votes Thank Flag Link Thu Feb 10, 2011
Hi Michelle: Although the seller's wants you to be pre-approved by their broker, they cannot force you to use their preferred lender. Either way, it sounds like you have already chosen the broker. Just stay on top of her, and ask her to give you updates every week. Make sure your agent also provides updates to the listing agent/seller. A lot of times, the bank will waive the per diem for a few days if they have been kept up to date on your loan situation and as long as it's not weeks after agreed upon closing date. They have the per diem clause so the buyer does everything promptly to make sure the loan is moving along.
0 votes Thank Flag Link Thu Feb 10, 2011
I think more will depend on the Loan Officer than the lender and of course how quickly you get them all the requested paperwork. BofA has been slow recently with FHA but reasonable time frames on conventional in our area.
0 votes Thank Flag Link Thu Feb 10, 2011

You just answered your own question. Just make sure you stay on top of him with rates. We have had an ugly 10 days in the MBS market and ther are no signs of it getting better. Good luck to you, and your Celtics.

Web Reference: http://www.donmaher.com
0 votes Thank Flag Link Thu Feb 10, 2011
Louri I considered the broker after the seller made me get preapproval from his lender in the offer contract. She is pretty good so far just scared to take the leap.
0 votes Thank Flag Link Thu Feb 10, 2011
Hi Michele,

In my opinion, an excellent mortgage broker can manage the process in a more timely manner. In my experience, a mortgage broker has been able to beat any bank's quote on rates and fees.

May I ask why you narrowed it to the sellers lender and your bank?

I had a client with almost perfect credit (it was stellar) and their income would actually allow them to purchase at a much higher price. The house they selected required them to go with the seller's lender. Well the seller's lender delayed the process. Luckily the contract stated that there would be no daily charges if the delay was due to the seller's lender. (hope this tid bit helps)

Best of luck to you! Keep us updated!

Louri Groves
Prudential CA Realty

PS I have a mortgage broker I would highly recommend if you need to check with one more.
0 votes Thank Flag Link Thu Feb 10, 2011
To tell you the truth Don the broker has already been more pleasant. Sort of at my beck and call. I'm diving myself nuts thinking about this and the inspection is this weekend. Go Celtics!
0 votes Thank Flag Link Thu Feb 10, 2011

Your broker will give you better service, better rates, and will be able to take care of any issues much quicker than Bank of America. Without any snags, 30 days is no problem for a close time for a broker, but you just never know with B of A.

Lakers vs. Celtics tonight. Dont miss it!!!!

Good Luck
Don Maher
Web Reference: http://www.DonMaher.com
0 votes Thank Flag Link Thu Feb 10, 2011
I didn't even know it was possible to make them guarantee a date they already have copies of the purchase contract and know the seller means business. I will try and see if I can demand it.
0 votes Thank Flag Link Thu Feb 10, 2011
Which bank is your mortgage broker locking through? Good chance he is doing the loan through BofA. Ask both to provide a firm closing time, and a promise of reimbursement for late closing.
0 votes Thank Flag Link Thu Feb 10, 2011
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