Question for agents about lenders...

Asked by Vicky Chrisner, Purcellvile, VA Sat Feb 28, 2009

When you are working with a lender you've not worked with before, how do you feel when the lenders fail to answer your questions about the loan or even the status of the loan? For example, I am working with a new lender on a particular home because of a special product they have I couldn't find through my normal lenders. Today, I asked a bunch of questions, including trying to confirm that the client was locked in. The response on that issue was that the loan officer said he'd discuss that with the client directly. My client told me she was locked in; so I am not sure why the answer to that would have to be deferred... it should have been a simple yes. Why would a loan officer not have said that?

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Rob Purifoy, Agent, Plano, TX
Sat Mar 7, 2009
Just a response to Andy's "liable" comment. In essence this is true, but if something catasrophic happens in a transaction we are potentially liable anyway, no matter what, our fault or not. There comes a point where we can't just be "hands off" about every single thing, and if a deal is goinig to get closed I'd certainly rather know the lender than allowing my client to get scammed by some lender I don't know, or at least know of.

In fact, until my wife became an LO, I was licensed and did the loans for my real estate deals, with full disclosure of course. In Texas it's legal by the way... Risky, sure, it can be, but in this business we sometimes take calculated risks. If we're out there running scared of every client how successful will we be? . Of course it's wise to be prudent and stay a step ahead of problems. But I do feel some agents are so scared of being sued to the point that they don't truly serve their clients.
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Andy, , California
Sat Mar 7, 2009
Usually, lenders, especially those small lenders who have attractive programs or rates, would like to do that because they might have some trouble that cause of their own problems.

Did you refer the lender to your client? If you did refer this lender without other optional lenders to your client, you have been liable. That is breach of your fiduciary duty even you may be one of the victims in this circumstance.

If the transaction can still give your client enough time to submit the loan to other lender's, Do it. Back up lender is a good idea to protect your client, her/his transaction and yourself.
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Rob Purifoy, Agent, Plano, TX
Fri Mar 6, 2009
Hey Vickie, the answer likely lies in what you said about "not your normal lender". Some of those Loan Officers are turning and burning and care nothing about future business, unfortunately. I've dealt with a few like that. I was a licensed LO for a few years and personally, barring giving out the buyers SS#, I kept all interested parties to the transaction informed all the way down the line. It sounds like you just have a lender that does not see you as a future business source for them so are blowing you off, so to speak. Much like working with a builders title company I might add.

The days of you having to go to another lender are likely going to be cut short in any case with the investors tightening up the requirements. My LO has one investor left that will go with a 580 score, the rest are 620 and climbing. It will be rare that one lender can do what the rest can't. Good Luck, I'm feeling the pinch with these lender requirements too.
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Pamela Bicke…, Agent, Indian Shores, FL
Sat Feb 28, 2009
Sometimes, loan officers are wary to give out what they deem "private" information. If the buyer says the rate is locked in, they should have that in writing. I know I would. But, I would be more concerned about the terms of the actual loan approval approval and it's validity. Try asking your clients to sign an authorization to release information and you can present that to the loan officer, and they should be able to disclose certain key pieces of information to you without issue. Most loan officers would not have a problem doing so under those circumstances. However, stay on top of the process. If the lender is not sending you unprompted status updates regularly, I would recommend you tell them the level of service you get now determines whether you send them any business again.
All loan originators should be so lucky to have a chance to earn your future referrals.
(I'm a new Realtor, but have been in the mortgage industry for 15 years as well)
Good luck and stay vigilant on behalf of your client!
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