IS THIS A PROCESSING SERVICE?
service is more fine tuned and in depth than a standard processing
service and no, it is not a processing service. However, if you can
get the documentation upfront from a borrower, order the appraisal,
title and insurance, that should be all you have to do. Only when
files are not complete or need a major overhaul as I may discover
that the loan program picked for a borrower just isn't going to work
for them, is there additional steps on your part. Using my services
often can cut out the need for a processing service as many of the
online processing services I have researched ask for a complete file
to start with anyway.
WHY NOT MAKE THIS A PROCESSING
services exists to get the paperwork needed to submit a file. This requires
contacting borrowers, credit reporting agencies, appraisers, title
companies and attorneys. Then the loan may or may not get submitted
for approval by that service and since the loan hasn't already been
reviewed by an underwriter, you don't know how the loan decision will
turn out until you hear from the underwriter. Often there are several
conditions that are still needed or the loans are suspended due to
some major details that were missed or not reviewed. Processing
services just process your paperwork, they don't undewrite it. My
time is best spent with the details, guidelines and analysis of a
file, rather than just packaging papers together (although I do get a
file in proper order for underwriting). That is one of my pet peeves
as an underwriter - a sloppily put together file!
WHAT DO YOU CHARGE FOR YOUR SERVICE?
for this service is $400. That may sound like a lot but when you
consider how it will enable you to close more loans overall and put
more money in your pocket, you'll find that it is money spent wisely.
WHEN DO YOU BILL FOR YOUR SERVICES?
done once a month. It is not to be paid from closing as it is not a required
borrower paid closing cost. It is a service I am providing directly to
you the client and therefore you will be billed directly for it.
Keep in mind that the more loans you close, the more commissions you
earn and the additional commissions should far outweight the $400 per
file you would be paying for my expertise.
DO YOU CHARGE EVEN IF THE LOAN
although it will be at a reduced fee. This is because services will
have been done on the file whether or not it closes and therefore
partial compensation is required. How much will vary. If a loan has
been fully completed, approved and sent back to you for closing, but
the borrower just decides to not go through with it, more will be
charged, than a loan that was denied (although this should be rare
given that I pre-underwrite every loan).
WILL YOU YOURSELF ALWAYS BE THE
ONE WORKING ON A FILE, OR DO YOU HAND IT OFF TO OTHERS THAT WORK FOR YOU?
I am the
only one who will work on your file, so you don't have to worry about calling
only to hear that someone else has the file now. I also make myself
available to answer scenario questions if you want to bounce
something off me. I do NOT lock the loans in however, as that is an extremely
sensitive part of a file. That responsbility is left up to you. The
loan gets submitted to underwriting with the rate you have on your final
1008 (Transmittal Summary)