Retail (brick & mortar branches) Banks & Mortgage Banks have many of their own lending rules, piled on top of the standard loan requirements needed to be approved for a Fannie Mae, Freddie Mac, FHA, or VA loan. These added hurdles to jump over are called overlays.
Banks also have internal lending quality control processes that can result in limited one-dimensional thinking, often leaving a client with a loan denial and no way to rebut the negative findings of the underwriter. Many loans initially listed as approved, become categorized as “application withdrawn by the client”.
These combined factors result in a MUCH lower ratio of closed loans vs. total loan submissions when comparing banks against the much higher success ratio of mortgage brokers.
Mortgage brokers have the ability to submit one loan to multiple lenders. Brokers benefit from the fierce competition by wholesale lenders to win our business. Most mortgage broker loan submissions are to wholesale lenders that use only the guidelines of Fannie Mae, Freddie Mac, FHA, & VA to approve loans, without requiring any additional lending steps to be satisfied.
The rapid-fire turn times available to mortgage brokers allows a loan to be reviewed & often approved within a 24 – 48 hour period. A national study recently concluded that borrowers save an average of $4300 when working with a mortgage broker instead of using a mortgage banker or retail banker.
There had been some loan programs that were only available through retail banking channels for many years. These loans are now available to all clients whose mortgage broker is Go Rascal.
Go Rascal can now offer 100% financing to doctors.
95% financing on a $1,300,000 purchase without PMI.
Cash out to 95% without PMI for loans up to $1,000,000.
10% down payment on purchase price up to $4,000,000 with no PMI.
These loans offer an 80% 1st mortgage & a 2nd position HELOC for owner occupied, 1 & 2 family homes, & condos.
I can offer a 3/3 ARM, which is fixed for the next 3 years, at terms once only available to private banking clients.
When factoring in price, customer service and the flexibility to get a loan approved quickly and cleanly, Mortgage Brokers are clearly better!!!!!!!!!!!
Tip of the Week:
This is the right time of year to work on the outside of your home.
If you are a homeowner, either you or someone you hired is completing your fall cleanup. Closing & blowing out your sprinklers, cleaning the gutters & leaders, disconnecting hoses and draining the spigot if not frost free, along with preparing the outside of your home for the winter.
Many landscapers shut down their businesses for the next few months.
Along with milder winters here in New York, you have this large pool of capable outdoor contractors waiting for spring to go back to work.
Use this time to complete any outside projects you have wanted to do.
The guy who runs a crew for a landscaping company 9 months a year, is the same guy you can hire to complete this job. It is easy to see the recent work they have completed.
In season, the same job ordered by the company can cost double or triple.
If you can assess and manage the job, you can get great value on projects.
If you don’t have that confidence, you can hire a big company and simply negotiate a lower fee for off-season work. You can have several larger firms bid on your job. It will still be less than you would pay during season when companies have so little time, they price everything higher just to reduce the total jobs they get.
Quote of the Week:
"Your future is created by what you do today,
not tomorrow."
- Robert Kiyosaki
Thanks,
Jeff Lafazan
About the Author of Jeff’s Common $en$e - Jeffrey Lafazan
Experience, Knowledge, Solutions & Customer Service, ALWAYS!!
Residential / Commercial / Bridge Loans
Renovation & New Construction / Fix & Flip Investors
HUD Multi-family loans to 85% with 35-year Amortization
Reverse Mortgages up to $4 million - including Co-Ops
SBA business financing up to 90%
Investor, Commercial, Bridge & SBA loans available in all 50 states.
Go Rascal (NMLS #2072896) is licensed in 34 states and growing.
Join Team Lafazan with national reach.
GoRascal Inc. (NMLS #2072896) is a licensed mortgage broker
In AL, AZ, CA, CO, CT, DC, DE, FL, GA, IA, IL, IN, KS, KY, MA, ME, MD, MI, MS, NC, NH, NJ, NY, OH, OR, PA, RI, SC, TN, TX, VA, VT, WA, WV, & New York
This communication is intended solely for licensed professionals and is not an offer to lend.
Cell # 516-375-3943
Jeffrey Lafazan NMLS # 69338
JLafazan@PrudentialB.com
JLafazan@GCFnyc.com
https://goldcoastbiz.com/
https://www.prudentialb.com/contact/mortgage-team/jefflafazan/
