Leadership in the Mortgage Industry

Leadership in the Mortgage Industry

These day we are inundated with messages on LinkedIn about what good leadership is. The above quote by Colin Powell really spoke to me. Great leaders are almost always great simplifiers, who can cut through confusion, options and doubt, offering solutions that everybody can understand.

I would say this also applies to great businesses, service providers, and all professionals.

Take the Mortgage Industry as an example. A great mortgage agent will simplify the process for clients. As for myself, I take pride in simplifying things and believe this is half the value I bring to my clients.

So let's talk about simplifying the mortgage process.

Step 1

It all starts with a discovery call with a knowledgeable mortgage agent. The call usually goes over your income any debt you may have along with your credit score, as well as what you can afford as a down payment. Leaving some money for yourself after closing costs and the down payment is important.

Step 2

Once the discovery call is over most mortgage agents will know approximately how much you can be approved for and a few lenders who would be best suited for you. At this point an application can be submitted - a process that takes about an hour.

Step 3

The application can be submitted with or without documents for an approval. In any case it's the responsibility of the mortgage agent and his/her client to start collecting documents to prove anything stated in the application. This can include proof of down payment, proof of income and current debt etc. If they are not submitted at the time of the application, in some cases, the lender will give an approval with conditions for those documents to be provided. Each lender is different and, as such, the mortgage agent handles this for you with the lender.

Step 4

Once the file is 'broker complete' and all lender conditions are met and supporting documents are in - including the mortgage commitment papers themselves and the purchase agreement if it's a new home buy - then everything is sent to a lawyer for closing. The lawyer has his/her own conditions to meet as well. Some of those could be making sure you have insurance on the house if you are buying, doing a title search, verifying property taxes are up to date, and arranging for the funds to be released on day of close.

(In the background an appraisal on the house is ordered. In the case of a bank lender they typically order and pay for this. Alternative lenders usually request this to be done by the buyer and his/her mortgage agent.)

For questions on the mortgage process, advice or to start an application give us a call.

www.bylemortgages.com