Here you are, a Buyer, looking around on Craigslist looking for a new home to purchase. Better yet you check the Real Estate Services Link to see how much you qualify for first. You notice some super low rates and off you are making that phone call for more info. But, have you thought to check to see if they are licensed?
Recently I was surfing around Craigslist in Sacramento and I decided to check the Department of Real Estate to check the status of some of these lenders, and you would be surprised by the number of Loan Brokers that are not licensed by the DRE.
What prompted me to look was a posting from another individual that has mission to report unlicensed activity.
What can you do? Here are some suggestions to help protect yourself.
1. Check and see if they are licensed. In California you can check there status with the Department of Real Estate.
2. Go to a reputable source, such as your bank or credit union. Referrals from well trusted friends and family.
3. Don t sign blank forms.
4. Don t sign forms that have untruthful information. Some examples include miss quoted income, or length of employment.
5. Hostel or not fully answering questions or even possibly feeling pressured.
Its terrible that certain people don t want to play by the rules, its real bad when there priorities do not include taking care of you.
Rich Ringer
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With so many legitimate, reputable, well-known options available, I still don't understand why some of my clients choose to work with unknown entities. Sometimes it seems to be a case of having a relative or friend of a friend in the business. Other times I can't figure out what the reasoining is.
I don't push any lender on a client, but I will counsel people to speak with more than one lender, including some of the well-known ones, so they are aware of all their options. This is our responsibility as ethical professionals.
Thanks for your thoughtful comments.