My New Blog

Loan originators (LO) should be viewed as professional who rendered services for a fee. LOs should be judged by how effectively they can provide services, the fee they charge for their services and their guarantees or other assurances.

• LOs should be masters of details. Overlooking even one can delay the closing.
• LOs should keep their clients informed especially in purchase transactions with firm closing date. Agree on mode of communication and frequency of it.
• LOs should communicate effectively and efficiently on the loan process and products.
• Attend signing if feasible for source of comfort on novice borrowers.
• Rate shopping should be done online where borrowers can received quotes from multiple lenders within minutes of each other.
• LOs should be interviewed about their qualifications and experience for the last 10 years.
• LO guarantees include the broker's fee should not exceed as agreed upon, rate-lock commitment should be provided to borrowers, lender's fee shown on GFE will not be changed as long as the transaction is not changed, and all third-party charges will be passed long with no indirect markup by the broker.
• Only upon reviewing client's credit, employment, assets, and property type can LO firmly quote a mortgage rate.

Questions we will ask potential clients:

• What is the best type of mortgage for the client?
• How much should the client put down?
• Inquire the loan size, loan purpose, type of property, use of property, credit score and documentation of income and assets.
• Should the client pay points or receive rebates?
• Will it pay for the client to refinance?
• Quiz the client about financial status and plans.
• LO's wish list.

Good LOs are good listeners. Extract information early during the game to formulate applicable and sound advise. Good LOs will act in your interest in dealing with the lender and third parties. Transparency is the operative mode. Provide client with rate lock statement as soon as it has been received from the lender.