I commented on a blog and I would like to share my comment with the rest of you and ask you what you all think. I hope the comment was not offensive to the author, but this is something that I feel strongly about. I would be so offended if a Realtor whom is working on the other end of a deal from me recomend that My client seek another lender... That would be my last transaction with that Realtor.
On the same token I would never bad mouth the fee of a Realtor working on the other end of a deal from me and I would never Steer my client to another Realtor.
The blog that I commented on is Anyone Know Anything About These Mortage Companies? by Judi Barrett and here's
"Judi, I understand your desire to help your client. The fact is however that it sounds like your client is getting a good deal. I think that you may be better served sticking with the Real Estate portion of the transaction. I mean no offense but if you search rates being offered by Internet companies with no experience with regard to the financing end of the deal, you may well make yourself look bad to your client.
5.75% is a rock bottom price. I wouldn't be worried about getting a better rate in this market, I'd be worried about whether or not the rate being offered is even real. Now in the past few days rates have been very low, and it is possible to be delivering a 5.75% with a 20% down and excellent credit at par or possibly a small buy down depending on the lender.
Regarding Internet companies; Read the fine print at the bottom. The listed rates are based on certain assumptions (such as perfect qualifications) and are contingent upon the upfront fee. For instance, if you go to the ditech website and find the "Rates" page you will see that the higher the fee the lower the rate and the lower the rate the higher the fee. Most Internet companies promise the world and deliver nothing but problems.
I understand shopping for the best deal, but I get a little frustrated with people who are being given the best deal and still think that they can get a better deal based on a bunch of hyped up crap that is fed to them by unscrupulous advertisers.
Also, A note of advice. As a high producing Mortgage Professional in my area I send many many referral's to my Realtor partner's depending on the area they are serving. I would never question the fee of one of my partners or any Realtor whom I'm working with for that matter, and I would never send another deal to a Realtor who questioned my rate or fee. I am the Real Estate financing expert and you are the Real Estate expert, be careful not to confuse the two.
I think that you will be best served by explaining to your client that the market is declining and that he is getting a good deal. It may not be what he is looking to hear, but he will appreciate the honesty."
I'd love to hear what you all think about this...
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