Did You Choose Your Mortgage Lender Wisely?

Wilkes-Barre, PA is a little over two hours from New York City and NJ both. Houses in our area are dirt cheap compared to those markets, so more and more people are getting squeezed out into our market from those other markets. Add to that the fact that I speak Spanish and have assisted quite a few people from NY and NJ in their efforts to relocate to the Wilkes-Barre area and you can probably imagine that I have dealt with quite a few different mortgage brokers and lenders.

I have worked with some great mortgage pros, who have made the transaction move along as if it were a finely tuned machine. I really love working with those guys and gals because they make my life easier. They are the ones who answer the phones when I call. They send me updates to let me know where we stand and are ready to ask for help when they need some more information or supporting documentation to make the loan close. They are also the ones who explain the process to their clients (and mine) so there aren't blank faces at the closing table because all of this is so new to them. These are the ones I refer to others who haven't taken the step on their own to get their financial stuff taken care of.

Then we have the bad mortgage people. Notice I didn't call them pros. That's because I have no respect for what they do and can't lump them in the same category as those who get the job done and get it done well. These are the people who don't call you back, since you had to call them first and they didn't answer. These are the ones who promise that things will happen, then they don't and when they don't, these are the people who have every excuse in the world for why it didn't happen. That excuse is almost never, "Because I screwed up." If I got that response, I might actually have a bit of respect for them because I have to respect anyone who owns up to their mistakes. These are the people who show their unconcern for their client by not explaining the process to them, so we get to closing and they are surprised at what they see. These are the people who let deals fall apart because they don't want to make the effort to do what's needed to close. These are the people who think that missing a closing date is "perfectly normal". Missing a closing date twice must be even more normal, right? These people can cause a real train wreck of the Real Estate transaction.

I'm dealing with one such mortgage lender right now. No, I won't throw out the name, but you can be sure that I will never willingly work with them again. If I have a client tell me that they are using this lender again, I will refer them to another Realtor. I feel that strongly about it at this point. I know that it's the people who make the company, but can I really take that chance? When the deal doesn't close, who has to make that call? Not the mortgage lender. When the seller has to be told, yet again, that we need more time, who has to make that call? You got it. Not the mortgage lender. When the deal falls through completely and the struggle ensues for the deposit money, who has to field the calls? Again, not the mortgage lender. It's my reputation on the line here, Mr. "It's perfectly normal for a loan not to close on time...twice", not yours. You are from out of town and definitely don't rely on this market for your pay. I do.

I would urge the consumer to check into the mortgage lender before they do business with them. Because the company has an office in your neighborhood doesn't make them a reputable business. Ask the Realtors in your area what they know about the lender. Check with the Better Business Bureau about any complaints they have for this company. Google them and see what comes up there. Ask them how many of their loans don't close on time. I would urge the average consumer who knows no better to do some homework first. Choosing the wrong mortgage lender could end up costing you way more than you should pay and could damage your Realtor's reputation in their market.

And so, I ask again...Did You Choose Your Mortgage Lender Wisely?

Until next time...