Do you really want to use that internet lender? Please say it isn't so!

lendersBuyers have the option of using any lender they want.  However, one of the comments that stirs fear in my heart is “We’re going to use a lender we found on the Internet”.  Please say it isn’t so!  Let me tell you why I love it when my buyers decide to use one of my preferred lenders. 

My preferred lenders answer my calls.  They know I will not refer my clients to them if they don’t take care of my clients.  Your Internet lender doesn’t know me and probably doesn’t care if I ever use him/her again.  What’s more…they probably feel the same way about you.

My preferred lenders will have your loan documents to the title company 3 days prior to closing or as required by the sales contract.  Your Internet lender may not, which puts your deal in danger.  You may lose the house and your earnest money if your lender doesn’t have the loan docs ready so you can close on time.  It’s not your fault, but it doesn’t matter.

Many Internet lenders promise great deals with low interests rates then slap you with hidden costs that, if you do the math, end up costing you more than you would pay with a higher interest rate.  My preferred lenders explain exactly what than loan is going to cost you and isn’t that what you really want to know?  It’s more than just interest rate.

I feel so strongly about the quality of my preferred lenders that I require that my buyers sign a disclaimer acknowledging they understand the consequences of the non-performance of a lender. 

So, when your Realtor recommends a lender, understand that your Realtor is looking out for you.

Comments

  1. Brilliant amy, one of the best explanations why you should use an agents preferred lender… thanks for another quality post

  2. Totally, 100% agreed Amy, well put. I cringe every time a buyer client wants to use a lender I’ve never heard of. Far too often those deals are needlessly difficult at every step of the process.

    I haven’t found the perfect way to convince these buyers that I’m recommending my lender for THEIR benefit, and not for mine or my lender’s benefit. Your post has some great language that will help me hone my own ‘use my lender’ statement. Thanks!

  3. Thanks Heather. I also ask my buyers if they would prefer medical or legal advice from someone they can’t talk to in person? Most would agree this would not be an ideal situation!

  4. Thanks, Dean!

  5. Very good post, I certainly understand what your saying. I’ve only had a couple that insisted on using interne tlenders and they were total disasters. The only thing that saved them was one of our phenominal local lenders. They were able to salvage them and it record time I might add.