Whether you are buying or representing, you may feel like your real estate projects are getting stuck. Calling and harassing your loan officer (LO)won’t make things better. The truth of the matter is that even the LOs are getting frustrated. But it’s all for a good reason.
The real estate market is doing so well that they were not prepared to have the influx of loans they are getting. So, as loan officers are handling more loans, the back office is too. And here is where things get stuck. Banks are needing more compliance officials and underwriters to go through the loans. The changes in regulations and the economy also make the processes a bit lengthier in some situations. So, it’s not the lenders want to hold you back or make it difficult, it’s that they have a much higher volume than what they are used to and they are getting stuck.
There is so much that happens and so many people involved in the process from the bank. The Loan Officer or Mortgage Banker is just the tip of the iceberg, the face of a chain of professionals that need to look into and take steps for that loan to happen. From appraisers to underwriters and even compliance officers or managers, and not to mention the finance people who get involved in saying if the rate can or can’t be moved and points can or can’t be added and bought on that loan.
So, what can you do? Here are 3 tips to avoid buyers’ frustration through these Covid-19 times.
Don’t overpromise on closing dates
First of all, the lender is the one that can and should give you the dates. Don’t promise or explain anything from the loan to the client. Let the lender do it. You don’t want to say the wrong thing or even worse, get out of compliance by dealing with terms not meant for the realtor. But even when a date is set, let your client know from the beginning that it could still take longer or moved. Some professionals are seeing up to a 45-day delay in closings. So, make sure you let your clients know this might happen so they can prepare. It is always better to prepare and under-promise so you can over-deliver and account for any fallings through the process.
Set up expectations
We want to keep buyers happy, positive and motivated but if we don’t set up the correct expectations, a sudden frustration when things don’t happen like they thought could take them to draw back from the process or make it a more difficult one and get a bad experience. Remember that the client doesn’t always understand who is responsible for what and can easily blame it on you and give you a bad review or not refer you to other potential clients.
Communicate with the lender
As a realtor, your lender is your best friend in each sale. Far from putting pressure, work with them to see how you can assist in the process, calm the client, and provide what’s needed. Make sure your LO feels supported by you as they are already under a lot of pressure. He is your business partner in this and can also be a source of future deals for you with referrals. They are as enticed as you are to close since they also work on commission.
Maria Flores-Garcia
La Rosa Realty Kissimmee
Tel: 407- 930-3530
Cell: 407-591-2670
info@larosakissimmee.com
3032 Dyer Blvd, Kissimmee, FL 34741
