CRITERIA Needed for ALL Loan Originators to quote you a rate...

Steve -  Your comment at the end is the most important item on your blog.  In addition, if someone gives you a rate, without giving you the corresponding APR (which would be difficult without many of the items on your list) - RUN from them.

I actually heard recently that the current list to give out a REAL quote now has 26 items on the list. Yikes.

"If you get a really quick answer... that's the guy to STAY AWAY FROM."

I SECOND THAT!!! 

Hey Steve, . . . what's your rate today?  Hurry up now and just answer because I gotta call this totally legit company that sent me an e-mail toady for a cupon to redeem a 1.75% 30 year fixed.  If I'm lucky, they'll sell my information to 9 other tool bags and I'll end up getting 1%.  God I'm smart!  LOL!  Love the post man!!!

Steven:  Buyers need to understand that because of the market crash quoting a loan rate is more complicated now.

Excellent post Steven!  Dontcha just love that question 'what's your rate"? My answer is "I have lots of rates, what rate are you looking for"? Sometimes for fun I'll show them a rate sheet and I'll ask them to pick a rate, then I'll say, "ok then, let's see how much that's gonna cost".  I'll then ask for information like you listed. It's tough having to retrain consumers on what it really takes to get a viable qoute when they've been hypnotized by silly radio ads and other advertising media by lazy and generally unprofessional originators who won't take the time to do it right.  Keep up the good work!

Steven:  Jon in Comment #2 is pretty accurate in his assessment of question tally for current pre-qualification.  Last time I actually kept track, the number of questions I had asked was 27 ... and I'm not sure I was done with the conversation!  It's no wonder people feel barraged during the process.  It CAN be a bit overwhelming.  Your list definitely will help prepare them for what is to come.  Great idea .. and great post ...

Hope business is good in your neck of the woods ...

Gene

Steven -

"If you get a really quick answer... that's the guy to STAY AWAY FROM."

I think that's such a perfect response and so true.  It's hard impossible to give an accurate answer to the question without information.

All so true.  I had one the other day who didn't want to answer most of the above.  When I told her I couldn't help her without it, she stated that she had already spoken to someone who told her the rate without all of the questions.  I wished her luck because she is going to need it dealing with her current loan officer. 

It's amazing to me that people hear a rate advertised and think that they are going to qualify even with bad credit, low income, etc. They don't realize what is needed to qualify for that low rate.

Sometimes all you can do is give the advice to stay away from the one who gives an immediate answer and then wish them luck if that's who they are going to do their loan - they'll needed it.

Steven, licensed and experienced loan officer like yourself, knows you cann't quote rates from the hip. As you know the lowest rate is not always the lowest payment.  You might want to add a number 26: Lender paid or borrower paid mortgage insurance.

Great post Steven , I think we have gone from under regulation to over regulation. I think it will scare and confuse more potential buyers who are trying to shop for a rate and do not want to give personal information to every company just to get a quote. I think it will cause buyers to complete more research on companies  before giving any info/ Referrals from Realtors will be that much more important as i can tell them who has the best service or who i would not use myself .  What is going to happen to all these ads where companies post a rate in the Sunday paper?

Steven: Thanks for the list. What you say is so true. If we're quoting a rate before getting everything we're hedging like an attorney and saying things like O.A.C., assuming everything lines up, etc., etc. We really are still shooting in the dark even if we do have as much as we need. No one knows what the value is going to be; that's probably the biggest wild card these days. Thanks for the post!

I hope some consumers read this post Steven!  Most probably don't even consider that the person giving them a quote might not even be licensed in the first place.  Ideally consumers should find someone who is competent and ethical (someone they trust) to work with more than finding the lowest interest rate quote.