Whoa... what was that headline.... yep.. you read that right. I fired a Referral Partner Realtor and their client recently. I want to say up front that many Realtors are top notch professionals. Once in a while we are all human and what a call the "doofus gene" creeps in.
I thought I'd go over the three ways that Realtors (and their Clients) get Fired by Mortgage Professionals
- On a tight deal demand that the mortgage professional reduce their fees to almost nothing and the Realtor collects both sides of the deal and act like it's the mortgage professional's fault the ratios don't work
- Lie to the mortgage professional to obtain High LTV (96.5 or 100%) financing on a property that the Realtor knows is an investment property for their buyer
- Have the mortgage professional work for an extended time with the borrower and to find a lender or bank that will take the loan and then complain to the mortgage professional is charging $500 or 1/8 of a point too much "in their opinion" and then take the loan to someone who is their "friend" at another lending institution.
- Demand that the mortgage Professional Violate RESPA and release personal information to you.
I was talking with a Realtor recently who gets it and they said they know that mortgage professionals are the point people in any successful real estate transaction. Needless to say we give each other a lot of support and close deals. I don't try to do their job and question their fees and they don't question me. It is only brought up when the numbers won't work. Deals are fewer and slimmer in this market for everyone.
For New or inexperienced Realtors the rules are simple
- Find a bad mortgage professional, run away as fast as possible
- Find a good one, don't try to do their job. They don't try to do yours
You see in the current market with Realtors and mortgage professionals dropping like flies we all need to work together.
One of my favorite sayings is something to the effect: If you want to be successful don't worry about who gets credit. If you want to be a failure make sure you get all of the credit.
Mortgage Professionals I'd very much like to hear your experiences in the current market and how many times you've experienced the "Doofus Gene" in our profession, with realtors (good, bad and ?) and other mortgage professionals (good, bad and?).
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