This BLOG On Mortgage Lender Reviews And Testimonials By Borrowers Was PUBLISHED On June 13th, 2020
The home buying process is both an exciting and stressful process at the same time.
- Choosing a loan officer is one of the most important tasks for a mortgage loan applicant
- Whether seeking a home purchase loan or a homeowner seeking to refinance, choosing and hiring a loan officer who borrowers can get along with is the most important task in the whole mortgage process
- Many shoppers count heavily on lender reviews and testimonials
- On this article, I will offer our viewers on my opinion on the importance of mortgage lender reviews and testimonials
- As a manager of a team of loan originators, I will also write about how to avoid negative lender reviews and testimonials
- This is so Gustan Cho Associates can advise newer loan officers who consistently get negative mortgage lender reviews and testimonials
In this article, we will discuss and cover Lender Reviews And Testimonials By Borrowers.
How Consumers Choose Mortgage Lenders
There are many ways home shoppers choose lenders.
- The most common way on how consumers choose lenders is through word of mouth
- Many real estate agents refer loan officers
- Family members and close friends often refer loan officers who they had a good experience with in the past
- Many borrowers will often choose a loan officer through television advertisement, mass mailers they have gotten, telemarketing calls from loan officers, or radio ads
However, the majority of shoppers go on the internet and will do their own research and part of their research will be researching mortgage lender reviews and testimonials.
Borrowers Choosing Mortgage Lenders Online
The internet offers a wealth of information and the majority of consumers shopping for lenders, realtors, attorneys, insurance agents, home inspectors, contractors, and other service providers will search the world wide web.
- Mortgage shoppers who had a prior mortgage part of the bankruptcy and are having a hard time finding a lender who offers such home loans in the past may Google “Mortgage Part Of Bankruptcy” and pages of lenders and loan officers will show up on Google
- The top few listings may be Google Pay Per Click Ads
- This is where lenders pay a fee to Google to be on the top for certain keywords
- Following the Google Ads will be lists of mortgage websites that offer home loans to borrowers who had mortgage part of the bankruptcy
- These Google listings may be articles, topics on forums or just loan officers talking about this topic
- Mortgage shoppers may find an article interesting and contact the contact information on the website and speak to a licensed loan originator
- Once they feel comfortable with speaking to the loan originator and want to proceed further, mortgage shoppers will often leave the website and may Google search the mortgage company
- They may also Google the loan officer that represents the company
This is when mortgage lender reviews and testimonials come up on Google.
Bad Mortgage Lender Reviews And Testimonials
When researching lender reviews, consumers need to always try to be as objective as possible and look at two sides of the story.
- Say you interview a loan officer on the phone
- The borrower is very happy with what the loan officer had to say and what they have to offer and have a comfort level with the loan officer
- However, you want to do a final background check on the loan officer and the company the loan officer represents
- The loan officer works for a larger mortgage company that does hundreds of millions of dollars worth of mortgage loan volume a year
- They also may have offices in most of the 50 states
- The company has been around for decades
However, when you do a Google Search of ABC MORTGAGE COMPANY see many bad mortgage lender reviews and testimonials most consumers may have a concern with that.
Consumers then Google the individual loan officer.
- There is not a blemish on the loan officer in question
- The very best reviews on ZILLOW, YELP, and other major Review websites
- The subject loan officer has stellar mortgage lender reviews and testimonials
- What do you do?
- Why does the company have dozens if not hundreds of bad mortgage lender reviews and testimonials and the loan officer have nothing but positive reviews and testimonials
This case often happens and many mortgage loan shoppers run into a dilemma on whether or not to go with the loan officer.
Reasons For Bad Customer Reviews
As mentioned earlier, larger mortgage companies will have a tendency to have more negative mortgage lender reviews and testimonials due to the volume that they do.
- Unfortunately, the Mortgage Process can be an extremely stressful process where every i’s needs to be dotted and t’s needs to be crossed
- The loan officer can do the very best they can but may run into internal problems with the mortgage underwriter where the underwriter can be conditioning the file to death or being extremely anal
- There are cases where mortgage processors may misplace the paperwork
- The processor may ask the loan officer to contact the borrower and get the paperwork again
- There are cases where the appraisal gets ordered by the mortgage processor or back-office earlier than the required date
That appraisal turns out to not be valid and a second appraisal can be requested.
Avoiding Stress During The Mortgage Process
Loan applicants can satisfy all mortgage conditions that has been requested on the conditional loan approval. But after submission for a clear to close, the mortgage underwriter comes back with a bunch of other net sets of mortgage conditions:
- There are cases where mortgage loan closings get delayed for one reason or another and borrowers needs to reschedule and cancel their vacation days and reschedule movers
- Ultimately, the loan officer, no matter how conscientious he or she is, is vulnerable to negative mortgage lender reviews and testimonials even though he or she has done everything possible and then some to help
I have seen countless cases where loan officers have gone way beyond the call of duty and even lost sleep at night and have gotten bad reviews and testimonials.
How To Avoid Negative Mortgage Lender Reviews And Testimonials
One proven way to avoid negative lender reviews and testimonials is to always be in constant communication with borrowers:
- Whether it is good news or bad news, never avoid taking a borrower’s phone calls
- I have witnessed so many talented and experienced loan officers who really care for their borrowers receive poor mortgage lender reviews and testimonials
- This is because they avoid taking their borrower’s phone calls or do not give them consistent updates on their mortgage process
- Consumers understand the complexity of getting a home loan
Especially if the borrower has less than perfect credit or higher debt to income ratios.
Be Accessible To Borrowers At All Times
A big part of loan originator’s responsibility should be educating the consumer:
- Work as a team
- I have gotten so many positive mortgage lender reviews and testimonials from borrowers who went through an extremely grueling mortgage process but the borrower was very happy due to the fact that I called them on a daily basis
- This holds true whether there was news or no news
- We eventually became lifelong friends
Loan originators should always return borrower’s phone calls no matter what.
Why Do Mortgage Companies Get Negative Mortgage Lender Reviews And Testimonials
All mortgage companies are regulated by both federal and state mortgage regulators and the mortgage process is basically the same whether a consumer chooses Lender A or Mortgage Lender B. Mortgage companies have loan officers that represent them. When an incompetent loan officer originates a mortgage by a public consumer and the loan officer turns in an incomplete file or does not qualify borrowers correctly, the borrower will go through a very tough time. Eventually, get their home loan denied. This is the very cause of bad and negative lender reviews and testimonials. Even though lenders may have the best mortgage operations systems and the best back end employees, one rotten apple can bruise the company’s reputation. That is why many larger mortgage companies may have multiple bad mortgage lender reviews and testimonials. Consumers shopping for a home loan need to keep in mind that there are always two sides to the story and need to objectively judge the positive and negative reviews and decide if that mortgage lender is the right lender for them.
June 13, 2020 - 6 min read