Realtors: Help Us Help You
Setting proper expectations for the mortgage process is critical in ensuring a smooth, on-time closing and having happy customers. Thanks to massive regulation over the past few years the mortgage process is neither easy nor streamlined BUT with your help in establishing up-front expectations the process can be navigated successfully. The new “reality” actually starts with the client’s first contact, you, the Realtor.
Coach The Client
Time is the currency of this altered mortgage world so work to get a true 30 day contract for your client – that means 30 days from acceptance by all parties. We know this is easier said than done but if you think of it as a key element to an on-time and pleasant experience for all parties, “selling” it is worth the effort. Also, be sure to provide the contract to us as soon as possible – even if it’s unexecuted. Unfortunately we often don’t receive the contract for days which only reduces the amount of time in the process, and considering there are typically only 20 business days in a 30 day contract, time is of the essence.
We find the best mortgage experiences originate from a client’s responsiveness in providing their initial paperwork from the Document Checklist. As you would emphasize a quick response from the client during contract negotiations, in the same way let the clients know that a 24-48hr response is a “best practice” for the entire the process and will assure a more trouble-free and pleasant mortgage experience. It’s remarkable how many clients drag their feet in providing information and documentation to us after a contract is executed. Time saved upfront is time added to the end.
There is no such thing as too much communication. Use your experienced ears and tell us what you know. Many times something said in passing can help us address potential issues. Here are some important ones to listens for:
- Divorce. Don’t assume this information is always on the application. It’s critical that this information be disclosed up-front and that proper documentation is provided for any obligations (such as child support or alimony). Moreover, the process can become even more complicated if a divorce is pending and not finalized by closing.
- Job Changes. Any job change within the last 2 years is worth discussion; particularly if going from a W2 position to commission or 1099 (even if with the same company).
- Multiple Properties. If a borrower owns multiple properties it is worth providing the documentation up-front to ensure accurate figures are being used for qualifying. Too often we see borrowers inaccurately state (or even neglect) certain information about the properties (like the HOA dues, lease agreement terms, etc.).
Finally (and more importantly), stress the importance to Get Pre-Approved not pre-qualified. Insist on this approval type from other lenders that may issue letters for your clients or for your listings. The difference in the two is simply that pre-approval means income, asset, and employment have been verified with supporting documents. The former is just a look at credit and basing a decision on an unverified application.
We hope these help. We are committed to these core goals: complete customer satisfaction and helping our referrals partners grow their business together!