Mortgage Broker

Mortgage Broker questions and answers

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Q: Mortgage Broker?
We're working with a Mortgage Broker who seems inexperienced. Does anyone know what they are responsible for; what their duties are? Also, if she forges any documents that go to the underwriter are we liable? She told us we were approved but came back to us saying the underwriter needs more docs, letters of explanation, etc. Some of the stuff we just don't have and I get the feeling we will be denied if we can't provide them. She says she'll get it done "one way or another". We've been denied once. We're exhausted with the whole process and can't understand why she says we're approved and then needs more stuff!!!!

A: If she write an explanation letter, you will have to sign it @ close. She can't forge any docs. If you don't provide what they are asking for, you will not get the loan! It's as simple as that! The reason she is asking for more docs is because the underwriter is asking for more. It sounds like you don't trust her & if that is the case, find another broker.

Q: What can I do if my mortgage broker lied about income to the lender without my knowledge?
Hi I want to know, according to UK laws and FSA regulations what can I do if my mortgage broker lied to the lender about my income? I accidently came to know this and broker is not yet accepting this. Mortgage lender is now asking for income proof (which broker wasn't expecting) which would result in rejection in mortgage application. I have signed the document that the information in application is correct, but whatever was shown to me was different info. and not the one which is sent with application. and application was made on date prior to my signing date. What can I do to teach them a lesson, to get compensation. prefferably I do not want to spend money in hiring lawyer. The firm is FSA regulated, but it does not comply with FSA in this matter.

A: You signed the application with the information as stated, and thus will be held to that. You can claim someone changed it, but can you prove it? Hate to say it but it sounds more like you also tried to get away with something (IE knew it was wrong) but thought you could get away with it, and now where caught and am looking for a scapegoat . Now you want them to pay because you are not eligible for the mortgage. Give me a break

Q: How much does a mortgage broker make of a deal for a home refinance?
How much does a mortgage broker make off a refinance loan? vs How much does a bank employee doing a refinance make off a refi loan? Besides ideal credit scores, what steps can be taken to ensure getting the best possible rate?

A: Ive been managers at a bank over loan officers. Ive been a loan officer at a bank. We paid our loan officers 50-75% of the Loan Origination Fee. Thats it. Its a high turn over job. The reason being is because they are only working for the bank for free training so they can become a broker or work for a broker. The company I work for is 100%. I pay them a small fee 250-450 dollars per loan. I just use their name. So to give you the bank example. The bank will price the loan for approx 1.5% YSP and charge a 1% origination fee. Ill pick on wells fargo. If you work at wells fargo as a loan officer and you are new on a 200,000 loan you will get 1/2 of the origination fee. So you made $1,000. Where I work, Wells Fargo will pay me as a broker 2% YSP, and I take 1% origination. I would as a broker make $6,000 minus 350 bucks I pay the broker. Brokers can get better deals then the retail side of the bank offers their own clients. The reason is simple. Banks normally will give better rates to the brokers then to their own loan officers. Ive worked on both sides. The reason is because brokers do 95% of their business. I have a friend that works at say *Bank A* Large Bank. She is a loan officer at *bank A*. She hasnt trained enough to be on her own. She is working on it. She was doing her own loan and *bank A* was waiving the Origination fee because she worked there. She did it through me, and we took it back to wells fargo. Why? Because I still make 3,000 and she saved 1,000. Even though she worked there. She couldnt even come close with her rate sheet to what I was doing. Same bank. There is alot you will learn over time.

Q: I give my mortgage broker good leads, how much should I charge him for these leads?
I am a new investor and giving the mortgage broker I am using lots of leads every day and now think I should charge him for these. How much should I charge him? I don't know what the standard is for giving these brokers leads. Thanks.

A: Wrong - you can charge for leads under RESPA...but, the charge must be for leads, not for just closed transactions, and you may need a license as a lead provider to do so. It may easily become a RESPA violation if you charge more than what he could pay for similar quality leads elsewhere. For instance, if you can show that your leads close an average of every 1 out of 2 - that's a more valuable lead than leads that close on average of 5% of the time. Check with your state banking and finance department and licensing bureaus

Q: How to Become A Mortgage Broker in Ontario?
Hello, I would like to know how to become a Mortgage Broker in Ontario, Canada. Once I have completed the education I would like to have a home based business. Can I do this? Am I required to register as a Mortgage Broker under the Mortgage Brokers Act?

A: Firstly, I don't know, but I am interested as well. Almost finished a 4 year finance BBA from UofT. You are in Ontario, I think Senca has some courses you can/need to take. Check this link http://www.senecac.on.ca/fulltime/FSU.html

Q: Is a mortgage broker different than just going to the bank to see what I am approved for?
I am looking into buying my first home. I live in Ontario Canada, and everyone is telling me to go to a mortgage broker. I thought I would have to go the bank first to see what I qualify for. Is a mortgage broker and a bank, the same thing? I also heard something about a 'first time homeowner' thing that is also available. I am so clueless about this and I don't want to get ripped off. Please tell me what steps I need to take to finally get out of this stupid apartment.

A: The advantage of a mortgage broker is they deal with many lenders, and are knowledgeable about a broad range of lending programs. So the mortgage broker can probably find you a loan with a better rate and that is structured better for you. If you go to the bank, they will only offer the lone programs they do. There are also many loan programs - and a number of government programs that give special terms to first time home buyers, that allow you to purchase with a lower down payment. Either the bank or the mortgage broker can prequalify you.

Q: How can I learn the mortgage broker business without working for a mortgage company ?
I am interested in obtaining a mortgage broker license and would like to start a business from home. I would like to find someone who can teach me the business or find out how I can learn the business, so that I don't have to work for a mortgage company.

A: I belong to a company thatwrites loans in 47 states. I am an indepemdent loan officer. You can view my site at http://www.nlcofhollywood.com/jgottschall It sounds as though this may be what yur looking for. Good Luck

Q: What if your mortgage broker lied about your income and you were not aware?
It's me again. I did not know that my mortgage broker lied about my income until he told me after the fact. Yes he admitted it to me.He actually used it to tell me how hard he worked for me to get the loan. The original application was filled out in my home with one of his associates and I did not lie. I have requested copies of my file and applkication from him and he threatened me with an attorney. At one point he offered to get me out of this mess and blamed GMAC for putting me in the wrong loan. (they had my social wrong and he tried to tell me that i got someone elses terms). All he did was lie. I am not to blame. How can I get my file?

A: How are you gonna prove that the mortgage broker lied about your application? You signed it, now wheather you signed it later or after or you signed an application that was incomplete. Now here is about how this will go. Mr Broker who put this income in the income block. The borrower because he signed the loan application. It is a policy in my company that we don't take incomplete applications. Could it have been possible that someone changed the income, yes but not likely since I am the only one that have access to the file other than the processor and my manager that I discussed this loan package with. Mr Borrower did you sign the loan application? Yes I did sign the loan application but that was not the income that I put in when I signed it. The best thing to do is write a letter to the manager of the mortgage broker, tell him you are withdrawing your application because you no longer have faith in the loan officer assigned you. If there are personal items in your file the are obligated to give it back to you, such as Social Security Cards, Drivers license, pay stubs, W-2 forms stuff like that. If you want a copy of your loan application you may request it, they might provide you with a copy of all the information you submitted to them as well as a copy of your 1003 loan application. If you go to another mortgage broker they are not interested in the other broker's paper work and will complete their own application on their own forms. I hope this has been of some use to you, good luck. 'FIGHT ON"

Q: How bound am I to carry through with a mortgage broker if I decide I don't like working with them?
The broker is currently working to correct mistakes on my credit bureau free of charge as part of her service to get me a mortgage. However, for various reasons, I am not comfortable having her represent me in the search for the mortgage. What kind of etiquette should I follow to break the relationship after she has spent time working on my credit report?

A: just tell her you changed your mind but if you get a bill for what she has done in clearing your credit PAY It as these items and updates can get expensive on our end and it isn't fair for her to eat it with a lost client. That is like hiring a painter to paint a room and getting 1/2 way through you don't like the color you picked out. Are you not going to pay? I am a mortgage banker in TN & KY

Q: How do I pursue mortgage broker training? Can I work from home?
I am considering pursuing work as a mortgage loan broker. I have always been a very aggressive sales person when I worked in that field so I am confident I could do well at it. I am degreed and motivated but do not know where to begin. I'd like to work from home. I already have a home office set up. I have to be licensed in NY and need direction on how to begin. Any professional advice would be greatly appreciated! Thank you.

A: C, candid answer is now isn't the best time to get into a dying industry with other struggling starving loan brokers. u'd be surprised the # of l.b. we have applying daily for work and training. in the 80's the S&L collapse drove most to other fields. u'd be luck to find 1 in 3000 who actually worked in the 80's today.. suggest reconsider - read '48 days to work ulove' d.miller see what ur skills would produce better income.

Q: What percentage does a mortgage broker get for a refinance loan?
Wondering how much my mortgage broker will make off of me. I'm getting a $250,000 loan on a $500,000 house w/ $300,000 in equity. Thanks.

A: 25%

Q: What are some tips on finding a good mortgage broker?
What are some tips on finding a good mortgage broker?

A: the most basic thing is to have someone you have a decent amount of trust for. someone recommended by a friend etc.

the things you have to look for are:
1. top priority is seeing that the broker can actually get your loan on time. many deals fall through b/c the broker cannot get the deal through on time and has less control than the original lender
2. secondary priority is to see that they have access to competitive rates. not all brokers have access to all sources and rates, although most of them will be similar.
3. you need to see that the broker is someone you trust to get you the best rate regardless of how much money they make off the transaction.