Why it's SO important to talk to a Mortgage Professional

In the last couple weeks I have begun to feel really bad for a couple of my trusted realtor partners.

They have had clients whom have gone to their bank for financing and have been given the green light to go out shopping. Well, in these few cases all of them were unable to purchase.

This being the best and worst case. Clients go into the branch, (I wont mention the actual bank as I've heard it happening at others) sits down with the supposed 'mortgage specialist' and the person behind the desk says this... From looking at what you've told me for income etc. I believe you can purchase for the $300k you are looking for. Clients say great, can we have a pre-approval to be certain. We don't do pre-approvals, we tell you yes and go write an offer and then we'll get everything going, is what they were told.

Well they went out shopping and wrote an offer. The realtor finally convinced them to talk to me, which was a good thing. First off, what they were being offered in terms of product and price, was way offside of current market conditions. Secondly, if this person at the branch would've done his homework up front, i.e pull credit and check income, he would've found out that there was a concern with credit and they were NOT financeable. So ALL that work, writing offers, seeing homes, was for not. Again, he didn't even pull their credit, nothing!

I see this happening more and more these days. As banks ramp up their 'mortgage specialists' to try and get rid of us, Mortgage Professionals. They're hiring people that really don't have a true clue. Of course by all means, this is not everyone. Just seems to be the norm. There are some really good bank reps and I have relationships with them. And don't get me wrong, there are some misguided brokers out there too!

Remember, we as Mortgage Professionals have to go to school and educate ourselves all year round to stay on top of the industry. Well, most of us do anyway! More often than not, the person at the bank has done his duty and gets pulled to a different position within 6 months, and to be a 'mortgage specialist' they do NOT need any real education etc. How can you really trust anyone that has no education, real guidance, or only has the small couple products to sell to you, with your biggest financial purchase? In my opinion it's very hard!

I hope more and more people will start getting the word out and help the general public understand that we are professionals and do this day in and day out. I've been here for 8 years and have no reason to go elsewhere! It's my passion and I LOVE helping people!



Side notes: Remember that bank employees are generally paid a base salary and a commission on how high of a rate they charge you. This is why in the example above their offer was a lot higher. Once the bank knows a broker is involved they all of a sudden come down. Well, why wouldn't they offer you this to begin with???

If it wasn't for us we'd all be paying posted rates or rates much higher than they are today. We are competition and have access to lenders that ONLY do mortgages. So they are able to provide MUCH better products and services.

There's my rant for the day! Something that's been on my chest for a couple days.