It's a Loan Officer, Not a Serial Killer!

Reblogger Silvia Dukes PA, Broker Associate, CRS, CIPS, SRES
Real Estate Agent with Tropic Shores Realty - Ich spreche Deutsch!

For many buyers there is a reluctance to talk to a loan officer or mortgage broker similar to the reluctance of going to the dentist.  Yet, a financial check-up before embarking on the adventure of home buying is an essential part of the process. 

If your REALTOR does not ask you about your loan approval in the initial stages of your conversation, you may be in for disappointment later when you find out that the home you found and fell in love with is not available to you because you cannot get a big enough loan to pay for it.

Remember, home buying is a team effort.  Please let me know if you don't know who to talk to about your mortgage needs.  I can help you find a competent bank, lender, or mortgage broker to help you make your home dreams come true.

Eric Michael is explaining the reasons for this requirement in a nice and humorous way!  Thank you!

 

Original content by Eric Michael

It's a Loan Officer, Not a Serial Killer!

Scenario #1. You call a real estate agent because you saw a house online and would like more info. Agent describes the house and you get excited, it sounds exactly like what you're looking for. You say, "I gotta see this house! When can we go?" Agent's response, "Have you been in contact with a Loan Officer?"

Scenario #2. You and your spouse have been driving around the city, looking for "for sale" signs in front of houses that you're interested in. This is one of the areas you've always wished you could buy your first house in. House looks great. There's even some young kids playing basketball next door. They seem to be right about the same ages as your kids. Your wife dials the number on the sign. "Hi, this is Eric. How can I help you?" "Um, hi. We were wondering if you could tell us more about the house at 123 Perfect Lane?" After hearing all about the house, you've just gotta see the inside! When you ask, the response is "Do you have a pre-qualification letter from a lender yet?"

Scenario #3. You just got a raise at your job. The lease is just about up on your apartment, and a few of your friends have purchased homes recently. It's your turn. You sign up for lists of homes from a dozen real estate sites. They're all the same lists, but whatever. You thought there might be something special out there and you didn't want to miss it. You find a few that you want to look at. That's when you call your friend, who's been in the business for a while. You tell him that it'll be cool to hang out and look at some homes, maybe get a few beers afterward. Friend agrees and says, "Before we hook up, have you talk to a lender yet? If not, I have a few that I've worked with in the past that I could recommend, because we need to make sure you get pre-approved before we start looking at homes."

See the pattern here?

There's a reason that we want you to talk to a Loan Officer before we go out to look at homes. A few reasons, actually.

  • You need to take a look at your credit history. Lenders have minimum credit scores that need to be met before lending money for a house.
  • You might think that you can afford a certain amount, only to learn you have to look at homes that are a lot lower than you thought. Conversely, maybe you can qualify for more than you thought, and your dream house just got a lot nicer. Looking at homes that you could never qualify for is depressing. Trust me.
  • We run a business. We don't get paid unless you purchase a house. If you can't purchase, we can't waste our time, money or resources. It doesn't make business sense.

Debt to income ratios, time on your job and amount needed are a few more things that they Loan Officer will have to figure out before determining how much, and IF you can qualify for a mortgage loan.

Sometimes it's scary to find out what your credit is, or what you can truly afford. Sometimes it's even better to continue renting for a while to save up more money for that down payment or to pay off a few credit cards. The Loan Officer will help determine the best strategy for you.

Ultimately, a trustworthy Loan Officer is an integral part in the house/condo buying process. They can be an ally. As long as you remember, It's a Loan Officer, Not a Serial Killer!


Eric Michael, Real Estate Professional
Remerica Integrity, Realtors
41000 W. 7 Mile #105
Northville, MI 48167

Cell: 734.564.1519

Fax: 248.912.9996

www.ShortSaleInfoMI.com

www.EricMichaelOnline.com

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Fred Griffin presently on Leave of Absence
Fred Griffin Real Estate - Tallahassee, FL
Licensed Florida Real Estate Broker

Good choice for a Reblog, Silvia.

   Eric sums it up nicely, with great examples.

Mar 09, 2012 09:53 AM #1
Rainmaker
3,173,687
Endre Barath, Jr.
Berkshire Hathaway HomeServices - Beverly Hills, CA
Realtor - Los Angeles Home Sales 310.486.1002

Silvia what ag reat reblog, love it I must stop and say  hello Eric, loved the Headline:)

Mar 09, 2012 10:02 AM #2
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Silvia Dukes PA, Broker Associate, CRS, CIPS, SRES
Tropic Shores Realty - Ich spreche Deutsch! - Spring Hill, FL
Florida Waterfront and Country Club Living

Fred, I agree, those scenarios are spot on!

Encre, please do, he deserves it!

Mar 09, 2012 10:06 AM #3
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Michelle Carr Crowe,Altas Just Call...408-252-8900!
Get Results Team...Just Call (408) 252-8900! . DRE #00901962 . Licensed to Sell since 1985 . Altas Realty - San Jose, CA
Family Helping Families Buy & Sell Homes 40+ Years

I know what you mean, people are terrified! It's a Loan Officer, Not a Serial Killer!

Mar 09, 2012 10:33 AM #4
Rainmaker
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Lou Ludwig
Ludwig & Associates - Boca Raton, FL
Designations Earned CRB, CRS, CIPS, GRI, SRES, TRC

Silvia

Your right on point it takes team to close a sale.

Good luck and success.

Lou Ludwig

Mar 09, 2012 11:01 AM #5
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Silvia Dukes PA, Broker Associate, CRS, CIPS, SRES
Tropic Shores Realty - Ich spreche Deutsch! - Spring Hill, FL
Florida Waterfront and Country Club Living

Michelle, and there is no reason for that, our loan officers and mortgage brokers are very nice people who are there to help!

Lou, thank you, the home buying process is much like a fine machine, when all the parts work together, it will run perfectly!

Mar 09, 2012 08:26 PM #6
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Eric Michael
Remerica Integrity, Realtors®, Northville, MI - Livonia, MI
Metro Detroit Real Estate Professional 734.564.1519

Silvia, thanks for the re-blog. We're here to help people, not hurt them. I'd never "knowingly" send a client to a serial killer! lol

Mar 10, 2012 03:55 AM #7
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Silvia Dukes PA, Broker Associate, CRS, CIPS, SRES
Tropic Shores Realty - Ich spreche Deutsch! - Spring Hill, FL
Florida Waterfront and Country Club Living

Eric, that's right! :-)

Mar 10, 2012 11:57 PM #8
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