When it comes to mortgage lenders, there are really only two kinds: the ones that irritate you and the ones that drive you crazy.
No, not every mortgage lender is out to ruin your week, but it’s always been much easier to hate on those who can’t seem to get their customer service act together. Let’s be honest – dealing with mortgage lenders has never been a walk in the park. And, with mortgage regulations significantly tightening since the financial crisis of 2008, they’re getting more and more difficult to work with, leaving access to credit tight for many borrowers.
How much truth is behind the stereotypes? And, how can you avoid having to work with mortgage lenders altogether? Here’s our spin on the 7 things everyone hates about mortgage lenders.
#1: They aren’t clear about standards and ratios; they blur the lines on what you need to do to qualify.
Wouldn’t it be great to know exactly what you need to do to qualify for the mortgage or refinance you need? Some mortgage lenders talk about the 43 percent debt-to-income ratio (or is it 36 percent?), while others focus on credit score.
Don’t be afraid to call-out a mortgage lender who is not being clear with you. You have every right to understand the approval process.
#2: They get your business and then go missing.
Customer service is the key to any great financing experience, yet some mortgage lenders simply can’t seem to master the idea.
It is not unreasonable to expect that your mortgage lender call you back within the hour and returns emails even faster. They are, after all, making their money through commissions on the loans. They should be available to answer questions, to explain the process, to deliver paperwork, and more.
#3: They don’t provide clear instructions up front, which easily throws the transaction off course.
Whether obtaining a primary mortgage or a refinance, having a transaction torpedoed because your mortgage lender needs more information or documentation can be irritating to say the least. If you had known they needed the documents at the beginning, you certainly would have provided them.
If you feel like you don’t have clear instructions, be sure to ask your mortgage lender for a list of specific information they will need from you during the process.
#4: They mess up the paperwork.
You’d think that someone who does countless mortgages and refinances each year would have a grasp on the proper procedures and paperwork – yet, mortgage lenders are notorious for making paperwork errors that only further delay the process.
It’s pretty difficult for you to know that your mortgage lender is making paperwork errors before it’s too late, so ask around for recommendations of lenders who have their act together. Our go with a lender that has automated the application and documentation process online… hint, hint, wink, wink, nudge, nudge.
#5: They promise the moon and don’t deliver.
Your mortgage lender promises they can lock you in at a certain rate; next week the rate increases. They promise you’ll close within 30 days; 60 days later they need more documentation from you.
You’re not the only one – some mortgage lenders simply tell you what they think you need to hear to earn your business. Don’t be afraid to hold your mortgage lender to their promises.
#6: They make you feel like you’re at the circus.
Listen to us – obtaining a mortgage or refinance does not have to be a painful, tedious process. Mortgage lenders who make you feel like you have to jump through hoops to get everything accomplished are not looking out for your best interests.
#7: They’re as slow as a tortoise.
Nothing is worse than being thrilled about buying a new home and having to wait on your mortgage lender to close the deal. Or worse, missing out on an opportunity to refinance to a lower rate and payment because your lender missed something or forgot to check their work.
Don’t be afraid to put your lender on alert – have a backup lender and let them know you’ll turn to the backup if they can’t meet your deadlines.
If you’ve ever dealt with a mortgage lender, we’re sure you could help us add to this list. Leave a comment and tells us what you hate about mortgage lenders.
Don’t Hate Your Mortgage Lender: Choose Reali Loans
Today’s borrowers are looking for a home buying experience that is more than just great rates and excellent service – that’s a baseline expectation. They want to partner with someone who understands their biggest challenges and is willing to go the extra mile to deliver unique solutions. That’s what we do at Reali.
Bypass the mortgage circus by using Reali Loans for your home purchase. We don’t rely on mortgage officers, and you – the borrower – are in control of the entire process from start to finish. You won’t have to visit the bank. You’ll understand every cost and fee. You can even lock in your rate within 24 hours of your initial application.
Don’t hesitate to reach out to one of our team members when you’re ready to start loving your next home buying experience.