Since 2008, getting a home loan is a different process to those looking for pre approval. This process does not have to be intimidating or frightening. Getting approval for a loan to buy your house is not difficult. If anyone is in the business, it is often this process that is the hardest to get your buyers to commit on.
Clients Are Top Priority
Do you like going to a restaurant and finding a waiter who treats you like a king? Of course! We all liked to have the red carpet rolled out for us. The reality is, they are trying to earn their tip. We all know this.
This is mostly the same with real estate agents and lenders. They want to earn your business for many different reasons (they love referrals!). Add that motivation on top of people who actually care about helping clients, it is a win-win scenario. Knowing this, if you are working with a lender who makes you feel uncomfortable, it is probably time to move on to the next one.
This makes us ask the question…why has this process scared people away?
Negative Feedback On Home Loan Process
Mike Rolston from US Lending Network talks about changes in the industry that might have led to this reputation over time.
I would say prospective buyers can be intimidated by the pre-approval process because of past experiences or negative feedback from friends or family that have gone through the process. It can be overwhelming for a potential client when they first start the process. There is a lot of upfront paperwork that is required from them and some of them feel that they cannot provide what is needed to get the pre-approval completed. There are been significant changes to the mortgage lending process over the last eight years and lenders are requiring more and more documentation from borrowers in order to get them approved.
We all know getting a home loan is a different process before 2008. Mike makes sure that he tells his clients from day one what they can expect so there are no surprises.
I believe US Lending Network does a good job of explaining in detail on what is needed from the client and why it is needed from them. We give them an overview of what to expect from us the first day we are introduced to them. There are no surprises or unforeseen expectations for the potential borrowers. We go over their credit history and give them loan program options that works for them. Explaining the process and letting them know what to expect from the beginning can really reduce their anxiety or fears and give them a positive experience.
If you were to ask someone why they have not gone through this process, they will likely tell you because it is not fun.
Guide & Educate
It’s the unknown! Most buyers do not understand the process and media/news have made this process seem like an ugly green monster. Buyers need a blueprint from an educated and experienced home loan professional in order to make home ownership a reality.
Michael went on to explain how New American funding does not “do anything” to make this process “easier”. Their success comes from being upfront with clients.
“How can a loan officer make this process less intimidating and easier for clients?”
Loan Officers are not here to sugar coat the pre-approval process… Loan Officers will partner with the buyer to guide and educate them regardless of their current situation.
In conclusion, working with the right lender should make all the difference with your home loan. The process is not difficult, but your own personal journey could be different. You want a loan officer that takes the time to educate you on the process and guide you through any recommendations to get approved. If its a lender or real estate agent, the last thing people want is unknown surprises.
Are you looking at homes or thinking about doing so? You can fill out the ‘Get In Touch” section at the top of this page and let us know you are interested in the pre-approval process!