Two Types of Lenders
1:30 Minute Read.
Most lenders get their mortgage funds from the same pile of money. The difference they charge is a combination of buyer risk factors and lender commissions. So, before offering advice about any lender, take the time to understand your client’s financial needs.
Basically, clients (and their accompanying lenders) come in two sizes:
Our first type of client has high credit scores, stable employment and is squeaky clean financially. Often, these folks already have an established relationship with their bankers and need very little advice or direction from us. Their local credit union or knowledgeable lender may be the best place for them to get a great deal on a mortgage.
“Find a trustworthy, creative lender. Keep them for life.”
The second type of client needs more financial creativity. Just because someone may be self-employed, has unusual income sources or even dinged-up credit doesn’t mean they cannot qualify for a good mortgage. There are thousands of great loan programs available to them. Get to know awesome lenders who can direct and assist home buyers in finding the right loan product for them. Sending clients to just any lender can easily kill a transaction. Most banks and credit unions have a very limited menu of loans. Either the buyer fits into one of those programs or they don’t.
While on the topic of mortgages, lets talk about crappy lenders and clients. How many times have lenders promised you too much and couldn’t deliver? Yep, me too. And how many calls have you received from folks who couldn’t finance a dog-house? Me too. I’ve found one way to fix those transaction killers and time wasters – get everyone you can pre-qualified through your lender of choice. Your clients will be extremely grateful that you’ve protected their time and interests.
So, care to name names?
Who can you recommend with confidence? Show your favorite lender some love by endorsing them in the comments section below. I have a guy - Scott Nicholson at Benchmark Mortgage. 616-821-5337 or snicholson@benchmark.us. I met Scott 20 years ago by accident. He was a lender in a deal that I thought was impossible. He has been working miracles for me and Ruthie ever since.
