If there is one thing that I hear over and over again from agents is that lenders just don't communicate with them what is going on with a deal. As a lender since 1991, one thing I learned quickly is you communicate information, good or bad, as quickly as possible.
So why won't lenders communicate with you? As the Sr. Vice President - Regional Sales Manager for a bank, I too wonder why lenders just won't communicate. However, I think it primarily is centered around the fear of what would happen if they just told you the truth. Not that I am saying that is right as much as it is what it is.
What do I mean by that? Simply put, many inexperienced/novice lenders are afraid to communicate bad news for fear that they will loose an agents business and the deal will go elsewhere. If you find yourself in that situation, it is a tell tale sign that the lender you are working with lacks experience and knowledge of how to properly structure a loan file.
Experienced lenders will tell you the truth up front. I don't fear that my agents will take their client elsewhere if I say no. The truth is my referral sources often thank me. This way they don't waste anymore time with unqualified buyers. A solid knowledgeable lender is an extension of your team and a key to a successful real estate business.
With all that being said, the complexity and the details necessary to determine a borrowers ability to qualify are far more now than they have been for years. Just this past week, I had a Realtor request a pre-approval letter for a client who is writing an offer that had not yet applied for financing. Hello?? Why are you showing homes let alone writing an offer for a borrower who may or may not qualify. Fortunately, this borrower did qualify, but it was by the hair of their chin.
Please give your lenders time to do their job. I often tell clients and agents the easy answer to whether or not they are approved is "NO!". That doesn't take any time or effort to determine. However, never being one to turn away a hard deal, I have seen more and more often Realtors coming to us at the 11th hour to save a deal or just being impatient in waiting for an approval. In markets like the one we are in today, good lenders are in high demand. Help them to help you by setting reasonable expectations for your clients and working with them to document the file quickly for a quick approval.
When working with a lender you are unfamiliar with, let them know you want to know the good or bad and that you are working together as a team to service the client. In other words, set the table for open communication. This will insure the best experience possible for you and your clients. In today's world, it is hard enough, if we all work together we can hopefully minimize the pain and stress associated with the home buying process for our clients.
If you are looking for an experienced lender who shoots straight with solid experience, I would love to help you. You can reach me 24/7 on my cell 616-931-4629.
Comments(1)