Jeff Dowler, CRS, The Southern California Relocation Dude (eXp Realty of California)

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Rainmaker
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Candice A. Donofrio
Next Wave RE Investments LLC Bullhead City AZ Commercial RE Broker - Fort Mohave, AZ
928-201-4BHC (4242) call/text

I don't believe it's appropriate to request that level of information with an offer. Our lender pre-qual says that they've run a tri merged credit report, checked income assets and employment. Are buyers falling out due to credit issues in your area? Are the lenders not doing their job?

Feb 16, 2020 12:47 PM
Rainmaker
1,588,619
Lyn Sims
RE/MAX Suburban - Schaumburg, IL
Schaumburg Real Estate

I would say that's a no with a big privacy flag on it. It is the lenders duty to determine that & preapprove the buyer or not. Should have nothing to do with a seller at this point.

I will say that with rentals we do this & state good credit required.

Feb 16, 2020 12:27 PM
Rainmaker
968,560
Thomas J. Nelson, Realtor e-Pro, CRS, RCS-D, Vets
Big Block Realty 858.232.8722 - La Jolla, CA
& Host of Postcards From Success Podcast

Yes, it's annoying because that's what a pre-approval is for.

I sumbit my offer without and tell them to contact my lender (Jason) if they need more info. The pre-approval eliminates the need for FICO given the pre-approvals are pre-underwritten with Jason E. Gordon, more or less a D.U.

Feb 16, 2020 02:09 PM
Rainmaker
4,728,460
Ron and Alexandra Seigel
Napa Consultants - Carpinteria, CA
Luxury Real Estate Branding, Marketing & Strategy

They can ask whatever they want, and I would not give it to them.  This is a violation of one's privacy!  It is between the lender and the buyer..A

Feb 16, 2020 02:11 PM
Ambassador
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Anna Banana Kruchten Broker, CRB, CRS
HomeSmart International - Phoenix, AZ
602-380-4886

We have a pretty definitive pre-qual form in AZ that spells out the buyers financial picture well (if it's done well by a good lender).  As for requesting FICO's I don't think that's a smart idea.  Let us know what happens from that action....should be interesting. 

Feb 16, 2020 01:56 PM
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Chris Ann Cleland
Long and Foster REALTORS®, Gainesville, VA - Bristow, VA
Associate Broker, Bristow, VA

I don't see where this would be relevant if someone has cash or has been pre-approved for a mortgage.

In a lease situation, it is a different ballgame though.  Then the credit history/score, as well as criminal background check, are telling to how you will treat their property, or be responsible in terms of paying for rent and upkeep.

Feb 16, 2020 12:51 PM
Rainer
75,695
Jerrill Ewing
N & J Lake Properties, LLC - Eatonton, GA
Builder

I haven't and they aren't getting it from me

Feb 16, 2020 01:45 PM
Rainmaker
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Pete Xavier
Investments to Luxury - Pacific Palisades, CA
Outstanding Agent Referrals-Nationwide

Just on lease listings in my experience.

Feb 16, 2020 12:41 PM
Rainmaker
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Roy Kelley
Realty Group Referrals - Gaithersburg, MD

Interesting. I have not yet seen this.

Feb 16, 2020 12:22 PM
Rainmaker
549,984
David Gibson CNE, 719-304-4684 ~ Colorado Springs Relocation
Colorado Real Estate Advisers LLC - Colorado Springs, CO
Relocation, Luxury & Lifestyle residential

I’ll find a Unicorn before this happens but it would be nice to have a federal pre-approval form that clearly spelled out what due diligence a lender had done and if the prospective buyer had an automated or manual approval.

But back to the real world.

Asking for FICO scores.

Does the seller / listing agent realize how many different versions of FICO there are and that there are other scoring systems besides FICO.

Some attorney is bound to make this a Fair Housing issue or worse.

Feb 16, 2020 07:52 PM
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Fred Griffin Tallahassee Real Estate
Fred Griffin Real Estate - Tallahassee, FL
Licensed Florida Real Estate Broker

Absolutely none of your business.   If my pre-approval or POF is not sufficient, you may keep your precious house.

Feb 16, 2020 05:18 PM
Rainmaker
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Nina Hollander
Coldwell Banker Residential Brokerage - Charlotte, NC
Your Charlotte/Ballantyne/Waxhaw/Fort Mill Realtor

First I heard of it... if an offer comes with a solid pre-approval it's not of the seller's business what the FICO score of the buyer is. 

Feb 16, 2020 03:03 PM
Rainmaker
5,262,716
Barbara Todaro
RE/MAX Executive Realty - Franklin, MA
Marketing Agent for The Todaro Team

well, in this extreme seller's market, the seller might get away with that..... a pre-approval letter would reflect that a credit report was secured and qualified for a mortgage... 

on the other hand, if one has good credit, credit scores should be given in good faith.... if I were buying, I'd produce that.... if there's an issue that could be explained and a letter would be acceptable, one might pass on buying that house rather than share the FICO score ..... 

Feb 16, 2020 02:53 PM
Rainmaker
801,030
Annette Lawrence , Palm Harbor, FL 727-420-4041
ReMax Realtec Group - Palm Harbor, FL
Making FLORIDA Real Estate EZ

I would respond "Is the seller offering to finance the purchase of this house?"

Feb 17, 2020 05:48 AM
Rainmaker
561,982
Eve Alexander
Buyers Broker of Florida - Orlando, FL
Exclusively Representing ONLY Orlando Home Buyers

Forcing me to disclose confidential information about my buyer client is interfering in my agency relationship.

That is no different than if our offer asked for the seller to disclose how much money they are going to net from the sale.

Besisdes, FICO's do not show the full picture of how qualified someone is.

Eve

 

 

Feb 17, 2020 05:10 AM
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Debe Maxwell, CRS
www.iCharlotteHomes.com | The Maxwell House Group | RE/MAX Executive | (704) 491-3310 - Charlotte, NC
The right Charlotte REALTOR!

No and I'm not sure we CAN do that. I would check with the CA REC.

Feb 16, 2020 11:38 PM
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Margaret Rome Baltimore 410-530-2400
HomeRome Realty 410-530-2400 - Pikesville, MD
Sell Your Home With Margaret Rome

I have not seen that yet! 

Feb 16, 2020 08:22 PM
Rainmaker
868,868
Diana Zaccaro
Tropical Beachside brokered by eXp - Cocoa Beach, FL
"The Accidental Blogger" Cocoa Beach, Florida

I haven't seen this yet and hope I never do. There is no reason for such a request and if a buyer has a pre-approval from a local lender or POF for cash purchase, it makes no sense whatsoever. 

It reminds me of the notes that buyer must be preapproved by seller's lender...never understood the logic of that, either...a preapproval is a preapproval.

I'd say that LA is skating on very thin ice.

 

Feb 16, 2020 08:04 PM
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Wanda Kubat-Nerdin - Wanda Can!
Red Rock Real Estate - St. George, UT
So Utah Residential, Referral & Relocation REALTOR

Yes, for assurance purposes. While it is the buyer's responsibility to ensure they can perform, the seller needs to know they are capable. Otherwise they can rent until they qualify. Not the time to figure that out once the offer has been submitted!

Feb 16, 2020 06:39 PM
Rainmaker
1,703,626
Bob "RealMan" Timm
Ward County Notary Services - Minot, ND
Owner of Ward Co. Notary Services, retired Realtor

The first I had heard of this was a question right here about a month ago Jeff Dowler, CRS . I never worked with a seller who thought this way and I'm glad for that.

Feb 16, 2020 05:35 PM
Rainmaker
772,071
Jeff Pearl
RE/MAX Distinctive / LIC in VA - Lovettsville, VA
Full Service Full Time Realtor

Nope. I doubt if that bs policy catches on.

Feb 16, 2020 05:30 PM
Rainmaker
3,545,398
Michael Jacobs
Pasadena, CA
Los Angeles Pasadena 818.516.4393

Over the years, I have seen lots of requests for information that matters as well as carries no value.  It's the whim of the listing agent, a seller who knows "best", a combination of the two as well as for seemingly no reason at all.  Pure folly and plenty of frustration at times.   Some times it's a game one must play in order to "win".  

Feb 16, 2020 04:52 PM
Rainmaker
1,286,372
Ryan Huggins - Thousand Oaks, CA
https://HugginsHomes.com - Thousand Oaks, CA
Residential Real Estate and Investment Properties

Only on rentals.  Never on purchases.

Feb 16, 2020 04:39 PM
Rainmaker
745,364
John Juarez
The Medford Real Estate Team - Fremont, CA
ePRO, SRES, GRI, PMN

If the listing agent cannot be satified with the loan approval letter that is provided to me and which I provide to the agent, that agent is standing between my client and their's coming together on the transaction.

Feb 16, 2020 04:04 PM
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Bob Crane
Woodland Management Service / Woodland Real Estate, Keller Williams Fox Cities - Stevens Point, WI
Forestland Experts! 715-204-9671

They are taking a risk when taking off the market, I can understand them wanting to have a little reinforcement of the pre approval that is submitted.

Up to the buyer to decide how much they want the home.

Feb 16, 2020 09:08 PM
Rainmaker
830,438
Doug Dawes
Keller Williams Realty - Topsfield, MA - Georgetown, MA
Your Personal Realtor®

I haven't seen that yet. None of the Seller's business what a potential Buyer's FICO score is. 

Feb 17, 2020 07:03 AM
Rainmaker
443,184
Dan Pittsenbarger
Keller Williams Western Realty - Bellingham, WA
Improving Conditions

Not a fan. An underwritten pre-approval letter with the loan officers name and phone number on it (which any legit letter will have) is all that is needed.

Feb 17, 2020 06:41 AM
Rainmaker
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Wayne Martin
Wayne M Martin - Chicago, IL
Real Estate Broker - Retired

They are not a source for funding, so they need not know!

Feb 17, 2020 06:37 AM
Rainmaker
3,120,480
Scott Godzyk
Godzyk Real Estate Services - Manchester, NH
One of the Manchester NH's area Leading Agents

I have not seen that and wonder how legal it is. Due to privacy laws that is a huge risk. Just as well fico is not all that is looked at to get a mortgage. I like a pre approval from a local and trusted bank which works for me. I dont mind calling loan officers to ask how far along they are qualified, did the loan officer meet them? have they just been qualified or really pre approved?

Feb 17, 2020 05:59 AM
Rainmaker
760,627
Olga Simoncelli
Veritas Prime, LLC dba Veritas Prime Real Estate - New Fairfield, CT
CONSULTANT, Real Estate Services & Risk Management

Have not seen that. Isn't it a bit of a privacy issue?

Feb 17, 2020 05:38 AM
Rainmaker
1,525,273
Kat Palmiotti
406-270-3667, kat@thehousekat.com, Broker, Blackstone Realty Group - brokered by eXp Realty - Kalispell, MT
The House Kat

I have not seen that yet. That's not a data point we, as our buyer's agent, should share. And there are a lot of pieces of information that go into a solid pre-approval. So a lower than stellar credit score could be meaningless.

Feb 17, 2020 05:17 AM
Rainmaker
672,235
Peter Mohylsky, The Beach is closed but I am open.
PrimeSouth Properties - Santa Rosa Beach, FL
I AM STILL OPEN FOR BUSINESS ALONG THE BEACH

Interesting but no, have not seen that yet...

Feb 17, 2020 03:42 AM
Rainmaker
2,531,022
Richie Alan Naggar
people first...then business Ran Right Realty - Riverside, CA
agent & author

I have often seen systems and qualifiers as well as eliminators designed to weed-out and or identify those that are serious and can play vs those that cannot. If someone says: do all this and we consider doing business...you do!

Feb 17, 2020 06:58 AM
Rainmaker
415,979
Susie Kay
Ultima Real Estate - Plano, TX
North Dallas Specialist

I've never seen that.   I would let the listing agent call the lender personally. 

Feb 17, 2020 12:21 PM
Rainmaker
497,497
Jason E. Gordon
AmeriFirst Financial Inc, San Diego, CA - San Diego, CA
Sr. Loan Officer, CMPS, CDLP, CDRE, RCS-D, CDPE

My pre-approval letters always include credit scores from all 3 credit bureaus because it has been requested so many times over the years. In actuality, the scores are not really the issue (as we can have DU/LP approvals with low credit scores on any given borrower...it doesn't make them any less able/likley to perform). In fact, for lower scores, I've left them off the Pre-Approval Letter and simply included a supporting image of our DU approval (with the hope that the low scores didn't interfere with our offer strategy).

Feb 17, 2020 08:16 AM
Rainer
258,617
Caroline Gerardo
Pinnacle Home Loans - Newport Beach, CA
C. G. Barbeau the Loan Lady nmls 324982

In california someone would sue over that... and probably win. In order to release someone's FICO I need them to sign a release. How would the listing agent be able to verify anyways? Seems like a sticky mess

Feb 17, 2020 08:05 AM
Rainer
63,025
Ken Jones
Realty ONE Group Central - Freehold, NJ
There's no substitute for Experience.

Jeff Dowler, CRS FICO scores are confidential financial information that - according to federal law - may only be disclosed and used by those who are considering making a loan to a specific applicant.

Real estate agents don't make loans.

Ergo, it's none of an agent's damned business.

Feb 17, 2020 12:40 PM
Ambassador
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Alan May
Jameson Sotheby's International Realty - Evanston, IL
Helping you find your way home.

I have not seen that request in our marketplace... at least not yet.

They can always "ask" whatever they want... right?

Feb 17, 2020 09:17 AM
Rainmaker
669,560
Mike McCann - Nebraska Farm Land Broker
Mike McCann - Broker, Mach1 Realty Farmland Broker-Auctioneer Serving Rural Nebraska - Kearney, NE
Farm Land For Sale 308-627-3700 or 800-241-3940

I have not heard of it around here. I would never do that and I am not so sure it is not a violation of privacy laws.  I tell my buyers and sellers that I will always let them know red flags when I see them.

This particular agent and his/her listings would be red flag warnings. 

Mar 17, 2020 01:22 PM