My father taught me a long time ago that you cannot do a job properly unless you use the right tool. At the time, I pondered the statement and finally said to myself "no duh"! It wasn't until I got older, went into the workforce, got married and had children that I realized this wasn't just a simple saying but rather one that could be applied to all aspects of life. In my case, the mortgage business and for me, the right tool is infomation. Who needs this information? The borrower, the real estate agent and the attorney.
Information that the borrower needs:
1. How much can I afford?
2. Do I have the proper down payment funds?
3. What are my closing costs?
4. Whom am I allowed to get a gift from?
5. Where are current rates?
6. Is a fixed rate or ARM product best for me?
7. What are the steps in the process?
8. What is my monthly payment?
Information the real estate agent needs:
1. Is my borrower qualified?
2. Is the co op or condo nuilding I want to show the potential buyer a viable one?
3. Do they have the post closing reserves to meet the requirements of the board?
4. Can the borrowers afford the house I want to show them?
5. Can my buyers buy the house before they sell their current one?
Information the attorney needs:
1. When will we receive the commitment letter?
2. Are there any conditions in the commitment that are of concern?
3. When will the appraisal be ordered?
4. When will the bank be ready to close?
Closing a loan these days feels like trying to coordinate the Super Bowl. Understanding that, the proper tool to achieve the goal is information and processing it properly. Just think about this-how many times have you called someone needing a price quote or information necessary to get a job done and not received a phone call back? Or, received a phone call after days or weeks? If you have the same experience as me, it happens all the time. Frankly, it amazes me how some people stay in business and thrive. delivering quick and efficient information is the key to a pleasant mortgage experience for al involved.
You’re right; information is the right tool to make your mortgage experience a pleasant one. Do not enter into any type of mortgage if you don’t know the nature of it. Have at least a basic knowledge of it. Or to make things easier, hire a professional who’s knowledgeable about all the facets of mortgage.
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