- Find a Real Estate Professional
- Realtors®
- Mortgage Lenders
- Home Improvement Pros
- Other Real Estate Services
- Review an Agent, Lender or Pro
- Marketing on Zillow
- Real Estate Agent Advertising
- Join the Professional Directory
- Popular
- Real Estate Market Reports
- More
Replies (16)
- James Callas, "ABBAUSA"
- Contributions:957
It never hurts to get quotes from more than one lender.
Save Good Faith Estimate and compare.
Go with best overall deal.
Good Luck!
James Callas - Realtor®
Save Good Faith Estimate and compare.
Go with best overall deal.
Good Luck!
James Callas - Realtor®
- Jennifer J. Erickson, "OaklawnRealty"
- Contributions:349
The only time I see that nonsense is a CBA/ABA or where the REO requests the buyer be pre-approved via themselves the seller. I have vetted my lender referrals to advise my buyers. No matter what I am disappointed in what is available today, Mostly reactive never proactive, sucks for my buyers and creates a lot of extra work for me. When you have an intimate understanding of the process and see how it is executed it can make you sick.
- Wendy Remley, "wendywr"
- Contributions:24
I see both sides on this. I know that I feel more comfortable sending clients to a couple of lenders who I have worked with in the past, and know them to be competent. If someone submits an offer on my listing, and I've never heard of their lender, I worry about how good of a job that lender may do and that the deal may fall apart due to their negligence (I'm sure we've all had that happen, sadly).
On the other side of the coin, again, I have my lenders that I know and trust to do a good job. I don't want the listing agent to dictate who my clients use because it may not be the best lender for them, and they may not be as competent.
On the other side of the coin, again, I have my lenders that I know and trust to do a good job. I don't want the listing agent to dictate who my clients use because it may not be the best lender for them, and they may not be as competent.
- spanic_mechanic
- Contributions:20
Totally agree with Lane. I've been in the market for a few months and every time I see a listing that has potential but it states that you have to use their preferred lender in order to qualify for an incentive, I completely ignore it and not even look at the property. Yes Realtors, time to realize that the ball is going to be in the buyers' court for a while. Wake up and smell the inventory.
- Pacita Dimacali
- Contributions:1254
Although some listing agents ask that buyers are preapproved by certain lenders, the buyers don't have to use these lenders and can choose their own. This is mostly true with REOs. The REO agents may be carrying out the instructions of the asset managers to make sure the buyers submitting offers are properly preapproved.
Preapproval letters don't carry much weight by themselves anymore. Oftentimes, we are also asked for proof of funds. Instead of the preapproval, sometimes the lender submits a Desk Underwriting which is one step beyond preapproval.
Preapproval letters don't carry much weight by themselves anymore. Oftentimes, we are also asked for proof of funds. Instead of the preapproval, sometimes the lender submits a Desk Underwriting which is one step beyond preapproval.
- SoCal_Engr
- Contributions:5663
It may not be a seller's market, but why hate on them for trying? Your buyer can always ignore them, right?
I can't tell you the number of times I've been handed the "this deal is only good today" or "only if you do X..." pitch, looked the salesperson in the eye, and said "So?"
Seller's market or buyer's, the minute the buyer shows any signs of anxiety about not getting the product - they've lost the initiative.
I can't tell you the number of times I've been handed the "this deal is only good today" or "only if you do X..." pitch, looked the salesperson in the eye, and said "So?"
Seller's market or buyer's, the minute the buyer shows any signs of anxiety about not getting the product - they've lost the initiative.
- NTETS, "Mr Caveat"
- Contributions:6436
hey agents, dont tell my prospective builders to stop offering me discounts! i like free buy-down points and travertine bathroom upgrades
- sunnyview
- Contributions:25127
Totally agree with the OP.
- Deborah Holmes, "Debbie Holmes"
- Contributions:386
It is annoying but the banks do call the shots. I just tell my buyers that the offer required them to get preapproved but not use them. When we bid on an REO I warn my buyers that things are done differently then in a normal sale. We just have to be very careful when we deal with banks because they have good lawyers that write their contracts. They also insist on choosing the title company.... That unnerves me more. In our state most home sales do not have a LAWYER reading the signed contracts.
- Kevin Malone, "Kevin Malone"
- Contributions:67
I agree. Yes . . . it is a buyer's market, and a seller can not dictate which lender to use. However, it may be beneficial to a buyer to use a preferred lender if they buyer is being offered some kind of finacical incentive for doing so, such as a discount in fees, interest rate, or some other incentive. If that is the case, then I would advise looking at the preferred lender and then compare their offering with another lender.
Good luck.
Good luck.
- SoCal_Engr
- Contributions:5663
Been thinking a bit about this one...
As a consumer, why do I want my agent dictating to the seller what they can and cannot offer? My agent is there to advise me, not to tell the other side what to do. That's my job.
- Annette Levinson, "Annette Levinson"
- Contributions:200
It would be against RESPA regulations if the realtor gets any benefit from a referral to a lender. I always reccomend to realtors if the buyer is not preapproved, ask the buyer if the know who they want to go to for a mortgage. If not give 3 reccomendations. This way the buyer selects.
- Terry Iwaniw, "terryriw"
- Contributions:76
I don't have a problem if the bank that owns the property requests that their lender pre-approve my buyers, but I strongly advise my buyers that according to NJ laws and regs they can choose who they want to use as a lender for their mortgage.
- The Morrisseys
- Contributions:621
I see nothing wrong with sellers (usually banks) requiring people to be pre-approved by a certain company. All they are doing is making sure the person making the offer is financially sound, the buyer is not required to use them for their mortgage. We always explain that to any client looking at bank owned properties. We have, in very rare instants have required a pre-approved buyer be checked by a mortgage person we know (when working for the seller) because the company is unknown. It has usually resulted in a better deal for the buyer in any case.
- spanic_mechanic
- Contributions:20
Why should I get pre approved by a specific bank when I've already been pre approved by my bank and have them do another credit check on me and submit all required paper works to them?
- sunnyview
- Contributions:25127
"I see nothing wrong with sellers (usually banks) requiring people to be pre-approved by a certain company. All they are doing is making sure the person making the offer is financially sound"
Not true. The buyer has to pay that bank, deal with that bank, deal with that banks loan officer and accept that banks policies and loan servicing. I also have found that information like the maximum amount qualified for or cash reserves pass easily from the sellers chosen lender to the seller. Not good for the buyer since it can reduce their negotiating power.
Agents and banks like to stick you with their lender for the same reason. They can both call the loan officer up and say "how can we get this person into this house" while they freely trade your info back and forth. Not good for the buyer. Not honest for the deal. The buyers are stuck with the lender from loan application to servicing, they should be able to choose their own as long as it doesn't gum up the deal.
Not true. The buyer has to pay that bank, deal with that bank, deal with that banks loan officer and accept that banks policies and loan servicing. I also have found that information like the maximum amount qualified for or cash reserves pass easily from the sellers chosen lender to the seller. Not good for the buyer since it can reduce their negotiating power.
Agents and banks like to stick you with their lender for the same reason. They can both call the loan officer up and say "how can we get this person into this house" while they freely trade your info back and forth. Not good for the buyer. Not honest for the deal. The buyers are stuck with the lender from loan application to servicing, they should be able to choose their own as long as it doesn't gum up the deal.
Don't tell my buyer which lender to use.
-
- 0.0/5.0
- (no reviews)
Contributions:274Stating a discriminatory preference in an advertisement for housing is illegal. If you think this content is discriminatory or otherwise inappropriate and feel it should be removed from Zillow, please let us know by completing the information above.
We will review this content. Thanks for helping make the site more useful to everyone. To learn more, read Zillow's Good Neighbor Policy.