Slow is fast- when it comes to Pre-Approvals for home loans

By
Mortgage and Lending with First Priority Financial

What?, "Slow is fast?"  When it comes to Pre-Approvals for home loans, its true.  Every day we get calls from realtors who need a pre-approval right now, so they can start showing houses.  Its all about what the client wants, right?  

Well, not really. It should be about what the client really needs.  What they need to know is how much house they can actually get approved for, which is much more involved than a quick 36% or 41% times their stated income.  Anyone can quickly ask a few questions and crank out a pre-approval letter for a home loan that is not worth the paper its written on.  These are really Pre-Qualification Letters mis-represented as Pre-Approvals.  

What we do at First Priority, Raleigh is different than what you get from most lenders and brokers.  What we don't do is throw out immediate answers with low rates that you client may not actually be qualified to get.  We don't issue quick pre-Approvals that may not withstand the entire lending process.  

What we do for you and your clients is execute a process of qualification and education that prepares your client to get approved for a home loan and get closed without any last minute hitches.  Simply put, we do the work up front, to get all the information we need to issue a solid Pre-Approval, review with an actual underwriter any gray areas, and quote them rates and closing costs that are realistic and competitive.  

  • We ask them to fill out a full application up front, and collect most critcal documents, so we can acurately quote real rates and costs.
  • We use Session Share, to show them multiple rate and cost scenarios, so they can understand and make the best choice for them
  • We pre-underwrite, by running Fannie Mae Desktop Originator/Desktop Underwriter, and then follow up with underwriting on any issues that could hinder closing
  • We use Rate Alert to continuously monitors rates, so they can lock the best rate at an advantagous time
  • We educate them on how to shop for the best rates and costs, so they wont be fooled by people throwing out low-ball rates, without explaining or including associated price adjustments, and where those costs hit your clients pocketbook.

How does this help you and your client?

  • We avoid spending their money on appraisals and inspections for loans that wont close
  • We wont let you waste their time, and your time pursuing homes that cost more than what they can truly qualify for. 
  • We identify up front things they may need to do to close painlessly, such as gathering all required documents,  clean up credit glitches, explain non-payroll deposits, 
  • They get the truth on rates and costs, not bait and switch rates, or "zero cost" loans, where the high costs are hidden. 
  • You get to closing more quickly, with less last minute headaches
  • You avoid wasting time with clients that appear qualified, but  arent actually financially ready to buy
  • Because they are educated, they are confident that they got a great deal and great service, and spread the word about how our team performed.

Comments (4)

Todd Clark
eXp Realty LLC - Tigard, OR
Principle Broker Oregon

Welcome to Activerain and I hope you are learning a lot and if you ever need any assistance, don't hesitate to check out my blog, email me, call me, I will be glad to help you in any way possible. Also, check out the main page of Activerain and look for the Activerain University tab, there are lots of educational webinars to help you build your business.

Apr 16, 2012 02:16 AM
Letitia Stevenson
BHHS Fox & Roach | www.DelawareValleyRE.com - Greenville, DE
Listing Agent DE/PA/MD, Digital Marketer & Coach

Robert, Thanks for Sharing & Welcome to the Rain! Active Rain is a great place to share your knowledge, expertise and thoughts, as well as network and learn so much from the vast pool of talent already onboard. I look forward to reading your upcoming posts. If you would like to connect with me on ActiveRain, please subscribe to my blog!

Welcome Aboard & Much Success!

Apr 16, 2012 01:13 PM
Dale Baker
Baker Energy Audits and Commercial Properties Inspections - Claremont, NH
New Hampshire Relocation Real Estate Information

Howdy Robert

Welcome to the ActiveRain Real Estate blogging community! You'll sure find a lot of mighty fine folks here in the community to get to know. I'm one of the many ActiveRain community Ambassadors.

If you should ever have any questions about how to do anything or about the rules of the ActiveRain community, please feel free to contact me either by sending me a e-mail or by giving me a call, I'll sure be mighty glad to give you a helping hand. If for some reason I don't know the answer to a question which you might have, I'll sure will find out the answer and get back to you with it.

Take the time to look at the different groups within the community, pick some different groups to join, post your bolg posts in them, be sure to take the time to read the posting guidelines of each group you might want to join, you'll sure will want to follow them. Members can join as many or as few of the different groups within the community as they would like to.

Take time to read blog posts of other members within the community and leave a comment on the blog post of other members which you visit. By taking the time to do that many of the other members will also take the time to visit your blog posts and leave you a comment.

Members are able to post their blog posts in 5 different groups at a time in the community. The comments which you leave on others blog posts, need a minimum of 10 words to receive the 25 points for them.

Keep up your mighty fine job of posting! I'll be looking forward to seeing even more blog posts written and posted by you, plus seeing you join some of the mighty fine groups in the community.

Have a good one
Dale in New Hampshire

Apr 16, 2012 01:15 PM
Todd Clark
eXp Realty LLC - Tigard, OR
Principle Broker Oregon

Welcome to Activerain and I hope you are learning a lot and if you ever need any assistance, don't hesitate to check out my blog, email me, call me, I will be glad to help you in any way possible. Also, check out the main page of Activerain and look for the Activerain University tab, there are lots of educational webinars to help you build your business.

Apr 17, 2012 04:47 PM