Lender Red Flags

THREE Lender Red Flags You Should Be Aware Of:

1.??????LARGE Team - does your lender have several (if not dozens) of employees?

If yes, you're not working with your lender! You're working with their team - many times inexperienced and new to the industry. ?Lack of industry knowledge, products, and programs will cost you and your clients money! More employees typically means higher interest rates - employees cost money!

2.??????Multiple mortgage companies in the past year?

If yes, this could be a significant Red Flag.?Changing mortgage companies every few months can mean they have either spent through their sign-on bonus and/or they are not profitable!?This means their interest rates are typically higher (higher margins needed to be profitable)!?This directly affects you and your buyers.

3.??????Gimmicks?

Is your lender posting gimmicks promising free/discounted refinances in the future if you close with them now???If yes, this typically means your clients, or you as a buyer will end up with a higher interest rate when the time comes to refinance!? Always do your due diligence when purchasing or refinance to make sure you’re getting the best rate!