Time to buy a home.
Just thinking about it gets you excited! A bigger master bedroom, an extra bathroom. Maybe awesome hiking trails nearby?
You’re looking forward to everything, except maybe the part where you obtain financing. So you do what most people do these days – you go online, and submit a few mortgage quote requests.
It doesn’t take long, and your phone starts ringing. Sales pitch after sales pitch, you decide on a mortgage loan officer.
And as you move forward with the loan process, the regret sets in. What should have tipped you off?
If the interest rate sounds too good to be true..
Answer your phone a few times, and you’ll eventually talk to this guy.
He claims to have the lowest fees, and beat anyone else’s interest rate. You will be approved, regardless of credit score, or income. Whatever you want, he can make it happen. He is the answer to all your prayers, and you need to hurry up and apply. No really, right now! because if you don’t, interest rates will be sooo sad that they will most certainly go up.
So you do it. What could go wrong?
Your voicemails and e-mails start to go unanswered
You’ll notice this tends to happen soon after your application is submitted.
The more questions you start asking, the fewer answers you get. At this point, the only person you’re likely to reach is the loan processor, as your guy is on the other line, charming the next “sucker”.
You’ll get frustrated, perhaps even angry. But some part of you will tell you you’re overreacting. Maybe it’s just how things work, and you need to be patient. After all, nobody ever said getting a mortgage was fun.
Fancy being yelled at?
At some point in this whole charade, the loan officer will miraculously answer your call.
You decide to put your foot down, and demand answers. But before you get a chance to express your concerns, the yelling on the other end silences you.
You are interrupting an extremely busy person that’s working on multiple loans, not just yours! There is no reason to ask so many (stupid) questions, just relax and let the professional handle it.
Or go ahead and originate your own mortgage [dial tone…]
You’ve been lied to
Face it. You’ve been duped. And crime does pay.
Loan officers are sales people. This particular salesman said and did whatever was necessary to eliminate competition and gain your business. Once you’re in the door, it’s a lot harder to leave, and he knows it.
By now, you’re too far in the process to turn back. Unless you want to start over with a different lender, and pay another $500 for the appraisal.
And who’s to say the experience will be any different?
Constant delays and lost paperwork
Still with your loan officer at this point? You’re a trooper!
You keep hanging in there, as the frustration builds. Must be fun submitting the same loan documents over and over again, since nobody seems to account for receiving it. It even feels like the underwriter personally hates you. Oh, and by the way, the interest rates went up, and your loan wasn’t locked or it expired.
It will all be over soon.
While the above signs might look like an obvious warning to run, you’d be surprised at how much borrowers put up with. It’s not always so simple to tell if an excuse is made up or not. And just like with car dealerships, lower credit scores always have it worse.
Whatever the situation is, keep in mind that lenders are fighting for your business. Regardless of your credit score, or the size of your down payment. You should expect excellent customer service – and settle for nothing less.
No matter how far along in the process you are, if you’re not being treated right, reach out for a second opinion. Appraisals can be transferred, deadlines can be extended. Loans can be prioritized for fast closing. And sometimes, a little insider advice can help ease things up.