My Role As Your Loan Originator
There can be a lot of misunderstanding as to what exactly a loan originator does, and why it’s so important to have the right one on your side when you’re trying to buy a home or refinance a loan. As a borrower, you don’t necessarily know what’s going on behind the scenes to help you succeed, so I want to pull back the curtain and let you know what I’m working on for clients.
1. Consultation and Pre-Qualification
Meeting with you to assess your goals: I want to learn about your needs so that I can best formulate a plan tailored to you.
Providing education: I answer questions and will explain different strategies, loan options, and approaches that can help you reach your goals in an efficient and effective manner. You would be surprised by how many things clients read about online or hear from others that I have to clear up or provide context to.
Pre-Qualification: With the information you provide, combined with my knowledge and experience of the various loan types, I can help estimate how much you can afford. We’ll dial this in further once you’ve completed your loan application.
2. Loan Application
Assist you in completing your loan application: While our online application is straight-forward, everyone’s situation is unique, and I want to make sure the process is as seamless for you as possible.
Review your application and documentation: I want to make sure all the Is are dotted and Ts crossed. I’ll follow up with any questions I may have, and collect necessary documentation such as income verification, tax returns, credit reports, and other required paperwork.
3. Pre-Approval
Provide you with a Pre-Approval: Once I have the full picture of both your financial situation and your goals, I’m able to recommend available and appropriate loan products, strategies, and options.
Provide you with education on loan terms, interest rates, fees, and repayment: With so many possible combinations, you are going to have questions. Just searching YouTube won’t cut it, and the amount of conflicting information and advice is astronomical.
4. Shopping for a home
The search phase: Once you’re pre-approved, it’s time to shopping for a home. Whenever you find a home that you’re interested in, let me know, and I’ll run the numbers on that specific house so that you’re aware of how much your payment would look like, and how much money it would take to close on the home.
The offer phase: When you’re ready to make an offer, I’ll put together a pre-approval letter specific to the offer you’re making, and I’ll call the listing agent when your offer is submitted. Not many lenders do this, but this is such an important part in helping you win the deal.
Loan strategizing: Now that you’re under contract, you can finally select your loan with clarity. I’ll walk you through the options and provide advice and answer your questions.
5. Submission and Processing
Submit the completed loan application and documentation to the underwriting team: I will prepare all of your documentation into a tidy package for underwriter review.
Coordinate with underwriters, processors, appraisers, and other parties to ensure timely processing of the loan: Behind the scenes there are a lot of people involved in helping you close on the purchase or refinance of your home and I have to help manage this flow.
6. Communication and Follow-Up
Maintain regular communication: Not only am I keeping you informed of the loan process all the way through, but I’m also keeping all the other parties up-to-date, too. That includes the seller’s agent, the title and escrow companies, your agent, and all the people within our company involved in your purchase. Poor communication is the number one issue customers and real estate agents have during a transaction.
Address any concerns or requests for additional information from the underwriting team: The underwriters are there to review the entire loan package and make sure all loan guidelines are met. They are the judge, trying to protect the lender, and I am your advocate, here to fight on your behalf when things get tough (and sometimes they do!).
7. Compliance and Regulation
Ensure all loan applications comply with federal and state regulations: To maintain my loan origination license I am required to take on-going training, covering important items such as the Truth in Lending Act (TILA), Real Estate Settlement Procedures Act (RESPA), and other applicable laws.
Stay current with changes in mortgage laws and guidelines: Staying up-to-date is a non-stop process, and learning never ends (nor should it!).
8. Closing the Loan
Coordinate with title companies, attorneys, and escrow agents: As we get closer to closing, it’s crunch time, as you have just a certain amount of time to perform on the purchase of your home. Your earnest money and your future home is at stake, and I won’t let you down.
Review final loan documents: Throughout the entire closing process, which starts once you get under contract, you’ll see receive multiple updated documents and you will have questions. I’m here to answer all your questions and guide you to a smooth closing.
9. Post-Closing Follow-Up
Assist you with any questions after closing: Now that you’ve completed the purchase of your home, you’re likely going to have questions about things to come, including items like future payments, property taxes, and insurance.
Provide guidance on refinancing or future loan needs: Just because the loan is closed, doesn’t mean I’m not still trying to save you money and grow your wealth. I’ll be watching the market, looking for opportunities to refinance you into a lower rate (when it makes financial sense!), and providing advice on your next home purchase.
As you can see, there is a lot that goes on when a good lender is doing their job correctly. Inexperience or a lack of attention to detail by a lender can cost borrowers their time, their money, their mental well-being, and possibly their future home. Trust someone with experience, determination, and a good reputation.