Find A Great Loan Officer

 

How to Find a Great Loan Officer

Loan Officer, Mortgage Banker, Mortgage Consultant, Expert

Finding a great loan officer is crucial when you plan to buy a house or take out a loan. A loan officer is the person who guides you through the loan application process, helps you choose the right loan program, and ensures that your application meets the lender's requirements. A great loan officer can make the entire loan process smoother, less stressful, and more successful. They can be a resource for title, escrow, settlement, insurance, fixing your credit, finding a CPA, and can refer you to a great Realtor

In this article, we discuss the qualities you to look for in a great mortgage officer and the steps you can take to find one.

1. Look for Experience and Expertise

One of the most important qualities to look for in a loan officer is experience and expertise. You want someone who has been in the business more than seven years, has a deep understanding of the loan programs and guidelines, and can provide you with valuable advice and recommendations. Look for a loan officer who has a solid track record of successfully closing loans and has positive reviews from their previous clients. Experienced loan officers know how to navigate the loan process, anticipate and address potential issues, advise what program best suits your homeownership goals, and help you get the best possible loan terms.

2. Check Their Credentials

Loan officers are required to be licensed and registered with the National Mortgage Licensing System (NMLS). You can easily check their license status and any disciplinary actions taken against them by visiting the NMLS Consumer Access website. Look for loan officers who are in good standing, have no disciplinary actions or complaints, and have a high score on the NMLS. They must be licensed in the state where your proposed real estate investment sits.

3. Ask for Referrals and Recommendations

One of the best ways to find a great loan officer is to ask for referrals and recommendations from your friends, family, and colleagues who have recently bought a house or taken out a loan. Ask them about their experience with their loan officer, whether they were satisfied with the service, and if they would recommend them. You can also ask your real estate agent for a referral, as they often work with loan officers and have experience with their work. Real estate agents can provide valuable insights into which loan officers are the most responsive, reliable, and effective.

4. Interview Multiple Loan Officers

Don't settle for the first loan officer you come across. Instead, interview two or three loan officers to find the one who is the best fit for you. During the interview, ask them about their experience, the loan programs they offer, the loan process timeline, their communication style, and their availability. Pay attention to how they answer your questions, whether they listen to your concerns, and whether they provide clear and concise explanations. A great loan officer should be able to communicate complex information in a way that is easy to understand and should be responsive to your questions and concerns.

5. Compare Loan Offers

When you receive loan offers from different lenders, make sure to compare them carefully. Look at the interest rates, closing costs, fees, and the loan terms. A great loan officer should be able to help you understand the differences between the loan offers and explain the pros and cons of each one. Don't choose a loan solely based on the interest rate, as there may be other factors that could impact the cost of the loan. Make sure to read the fine print and ask questions if anything is unclear.

6. Check Their Communication Style

Effective communication is key to a successful loan process. A great loan officer should be easy to reach, responsive to your calls and emails, and able to provide regular updates on the status of your loan application. They should be able to explain complex loan terms and guidelines in a way that is easy to understand and should be able to provide you with the information you need to make informed decisions. If you feel that the loan officer is not working in the manner you like, find someone else. Most lenders communicate by email all the legal documents and rate confirmations. Check your email daily during the process.

Finding a great loan officer should not feel like stepping in a tangle of cactus.

Caroline Gerardo Barbeau

NMLS #324982

(949) 784- 9699

FHFA Delays Price Increases for Mortgages LL

 

Announcement made by the Federal Housing Finance Agency (FHFA) regarding the Loan Level Price Adjustments (LLPA). FHFA was going to immediately increase the pricing on mortgage loans with a bit higher debt to income back end ratios. FHFA assumes that borrowers pushing the maximum income verses their total bills are more risky in this volatile market and will more likely have trouble repaying. March 2023.

The FHFA is the regulator for Fannie Mae and Freddie Mac, which are government-sponsored entities that provide funding for the mortgage market. As part of its role, the FHFA sets guidelines for the loans that Fannie Mae and Freddie Mac can purchase.

In August 2020, the FHFA announced that it would be implementing new Loan Level Price Adjustments (LLPA) for certain borrowers with debt-to-income (DTI) ratios above 45 percent. These adjustments would increase the cost of borrowing for these borrowers.

However, on March 10, 2023, the FHFA announced that it would delay the effective date of the LLPA for certain borrowers with DTI ratios between 40 and 45 percent. The delay would be for 90 days, until June 8, 2023.

The reason for the delay is to give the FHFA time to evaluate the impact of the LLPA on these borrowers and to determine whether any further adjustments need to be made. The FHFA has stated that it remains committed to ensuring that the mortgage market remains stable and that borrowers have access to affordable credit.

Summary:

Get your loan application in and locked before this price increase hits your deal.

Caroline Gerardo, 

NMLS# 324982

 

(949) 784-9699

https://cgbarbeau.blogspot.com/

The FHF

Avoid Real Estate Wire Transfer Hack

Avoid Wire Transfer Hacks

 

Story about how to avoid having your wire transfer stolen when buying real estate. It take hard work to save up thousands of dollars to buy your dream home. Be careful. Take your time. Don't let your account become a ghost town.

Question from a Borrower:

"A hacker got into my real estate agent's account and posed as my title company last year in which, I dumbly, wired money too.  My first heads up should of been that the first wire bounced back, but went ahead and sent another one.  By the time the real title company has alerted me that they had not got the funs, I was about to take off for a trip (literally on the plane)  At the time, my agent was able to call the bank (WellsFargo) and alert them of the fraudulent account of which they then found and closed.  Since then both my outgoing bank (which I used to initiate the transfer and tried to do a recall) and WellsFargo - the receiving bank - have been sort of a dead end.  Wells Fargo refuses to talk to me as they are saying they are 'protecting' their customer" Mike

My answer::: 

Mike the cause of the hack is probably your own actions. There are many things you should not be doing with money to purchase real estate. Privacy and secrecy are vital to holding control of your funds for down payment and closing costs.

Here are some guesses as to where you failed:

When you start the transaction you fail to call escrow/attorney to verify the bank account number and routing to wire. This account number rarely changes. 

Fail examine an incoming email address. If you attempt to reply you note the email is similar but off by a number or dot. Email is suszy.que@fatco.com and the incoming is suszy.que@mfatco.com   Similar but wrong person.

You use same password for accounts and email or simple guessable passwords. I'm not a believer that dual sign in does anything to protect you. The bad guys probably can spoof your phone number as well.  Refuse to allow banks to use voice identification I believe this is not secure. Post notice on large account to not allow wire transfers, no Zelle, no ACH without me personally walking into the bank or brokerage with my identification. 

You text private transactional information. Never text your agent or Realtor instructions. Never text social security number, date of birth, account number. Twenty years ago I told my children they were not allowed to enter their real date of birth in MySpace and Facebook. Those fake DOB show up in credit reporting today. Use a fake DOB for social media and entities that don't need your exact information.

You give your date of birth, social security number freely without caution. Who really needs this information? Your electric company stores all your information waiting to be hacked. Ask them in writing to take it down. 

You have not checked sites that verify what information about you is online. Some of these sites are free, some are also bad guys. In writing ask for them to take it down, using your junk email.

Chance of getting the funds back after ten days .001% Sorry it's a very bad batting average.

You signed the agreement to wire twice. Wire fraud is VERY COMMON.  

Why was the money in Realtor's account? NEVER give authority to someone else to handle the transfer.

Do not do the following mistakes:

You announce on a public forum you are doing a transaction, 

You have credit pulls and you use the same email address with lender and settlement/attorney. ANY decent lender knows not to send your correct email to order a mortgage credit report as your information is sold and picked off by other lenders and fraudsters, but yours gave away the keys. Use a trusted lender not an online call center. Verify the Lender's NMLS license in the state where the transaction is in process. Bigger Pockets has many lenders posting who are not licensed and answer questions with questionable information. 

You email through realtor IDX website, 

You don't have a secret personal email that you change the complex password often. Change the passwords during the transaction.

You use your junk email with Realtor and settlement agent, 

When you start the transaction you fail to call escrow/attorney to verify the bank account number and routing to wire. This account number rarely changes. 

What should you be doing?

Check, double check, do not be rushed, things can close tomorrow.

Work with people who know you. 



You give your date of birth, social security number freely without caution.







Good News FHA MIP Cost Goes Down

 

The monthly FHA MIP premium will drop 30 bps for loans funded after 3/20/23. 

The monthly MIP cost will drop by $121 for a $500,000 purchase with 3.5% down.

 

This was a long time coming. Former HUD Secretary Julián Castro 

had scheduled the cut to take effect in 2017, as FHA’s capital reserves

 were above the 2% statutory levels needed. 

The change was rescinded by the incoming administration on January 20, 2017.

 

FHA’s capital reserves today are above 11%,

When do you hear prices go down?

Still wishing eggs and gas prices decreased...

 

Good news for FHA buyers!