Do you like to throw your money away? If you are like me, I value my money and don't like throwing money away. Don't get me wrong, I do buy things once in a while that might be ridiculous, but at least I am making that choice. When you pick a mortgage broker, because they are a friend or friend of a friend or they may be a big bank. This may be you are gambling with your money.
Why do I bring this up, well this happens more than I would like. I have clients that come to me and they have a buddy that is a banker for a large bank and we have a real estate property that we are in contract with. It has a 45 day close. The banker takes the information and the appraisal doesn't happen for 15 days, (what! 15 days for an appraisal) but the client is told by the banker everything is good and release the financing contingency. Done, Financing contingency is released, no contingencies left. I tried to interject and emails would not come back to me form the banker, the banker was only responding to his client which is "our client". 5 days before the scheduled close, the client is rejected by underwriting, (What!) The banker said to his client (Suppose to be our client) he can work it out and needs another 5 days. We are now going to 50 days to close. Seller does not accept an extension, guess what, we are so close to the client loosing his earnest money. Why? Because of the buddies relationship with the banker. a large sum of money was on the table as far as the earnest money that was in jeopardy. After an exhausting day with multiple conversations with the listing broker, I was able to work out an extension with working with the listing agent and negotiating a deal. Today, the deal got done, but my gosh, none of us need to have this kind of stress.
What can be learned from this? Please use the referral from your Realtor.
It is about getting the deal done for our clients, with the least amount of stress to the clients. Our clients need to feel special and that they are being taken care of. It's critical to provide them with updates with the current program and where they sit in the funding process.
This is what we do, getting the job done with the least amount of stress and provide updates and clear and open communication.
More stories to come.
If you need a referral or are looking for a property, contact Tom Fine.