I'm very transparent with my clients, I think the more we educated them on what’s included and how it works the better we are setting them up for success with their loan.
Actual conversation: “Hey loan officer, is there any to get a lower interest rate?” “No, we’re too deep in the process, this the best loan for you” “What about buying points?” “Oh yeah….. blah blah blah” *trust broken” If I hadn’t seen TikTok about buying points I would have never known, I was the one that had to bring it up. Who knows what other possibly helpful information he kept from us
MY first loan officer failed to tell me about the interest rate buy down. Didn't know about it until a different lender explained it to me. Kind of called the 1st lender out on it and they offered a match with the second lender. I told the first lender goodbye and went with the lender that was more transparent.
The cheapest loan officer isn’t always the best! If you have an LO giving FULL transparency on what they cost and what their rates are, that lender will go much farther than an LO looking to make a quick buck. Cheapest doesn’t always mean best or honest. I would rather work with a lender with a 3.65% and know what I’m buying versus a 3.25% and be taken advantage of.
Thanks a huge million for sharing this..I haven't owned a home since 05' and lost it due to mortgage fraud. This time around I want to avoid any and all problems through my research. You're doing the right thing by sharing this info. You gained a new subscriber..!
We just left a lender that was charging us higher fees and left out the other closing cost fees then proceeded to bully us because we went with a lender that was better and more upfront with their fees in section A. They tried to win us back by saying they can remove third party fees from the closing coat which I know they can’t do that.
The only break down fees the Loan Agent provided to me was insurance and flood insurance. Only because I asked for a break down and continued to say he don't have a break down. I asked for my pre approval letter, could not provide that either. Off to find another Agent. Too many red flags. Anyone know of a 203k loan agent please feel free to reply. Thanks!
We’re closing soon! Appraisal came in $10K over offer, didn’t have to sell my blood or soul. Ive been watching Javier and you for two years. Thanks for all the helpful info!
I have a friend who noticed at the closing table that the lender did not include the amount of interest rate points she bought down, instead he pocketed the money. She refused to signed the closing docs, the lender had to go home & fix the documents. Crazy!
The next biggest trick I deal with - discount points! As a lender I notice way to many borrowers not understanding this and come to me saying they have a better rate, send me the loan estimate only for me to point out the quote is showing them paying am additional amount of money to buy the rate down to the quoted rate
1 thing my loan officer did, besides giving estimates on 3rd party costs, was that I had to take an online class they require that explains all the costs on the loan estimate (among other things). Even though I did my research as well as took the course, I did something you instruct. Shop around, get all the information, and to get the full picture, STAY IN BUDGET!!!!!!
It is a legal requirement to disclose these on the final closing disclosure. Being that most closing costs are 3rd party costs chosen by the seller it’s impossible to know upfront
The only fees that have to do with the lender is in letter a of page two on the loan estimate. Everything else is pretty much within the borrower's control. If you're buying a house either the buyer or the seller picks the title company, and the title company will be happy to give you their fees before you apply for the loan. The entire right side of page two in the loan estimate is not fees, it's taxes, interest, insurance and the county filing fee, all of which have nothing to do with the lender. The appraisal fee is about the same regardless of lender, but sometimes you get a tight appraisal market where there are no appraisers who will take the bid and in order to get an appraiser you have to pay him whatever they ask. But pending all these fees on lenders or loan officers is not fair. We didn't create the system. This is a government create a document that everybody uses. And it's hard to get borrowers to understand that all of the fees on this page with the exception of letter a are completely under their control and they spend incredible effort getting various lenders to compete based on these fees. That's why you get some lenders that low ball the fees if they can. Because they know that it will ultimately depend on the buyer and seller picking the title company. When you're buying a house just ask how much is the appraisal and how much is your processing, underwriting, origination and are there any points. Everything else doesn't matter because it's exactly the same no matter which lender you use.
Yes, some of these lenders are unethical and need to be reported. They messed up a lot of my deals in the past as a Realtor because they're freaking liars!!!
As a licensed LO in WA State, I see this all the time and it's frustrating! When our competition is essentially lying to customers, and then by closing it's too late for them to switch.
@@WinTheHouseYouLove I've seen them just leaving off section F and G fees completely. Can you imagine at closing getting hit with a $4,500 whoopsie? I feel bad for first time homebuyers especially!
@@CurranLongI feel that there are far too many LOs out there who wing it when it comes to calculating cash to close. I had a realtor with 35 years experience tell me that it’s his number one gripe.
I am closing on my first home in five days, and it has been a whirlwind the past three weeks! I have been planning on using down payment, assistance grants, however, the amount was variable so it was just solidified today… With total closing costs $20,000, taking away $8000 in seller credits, $8000 in down payment assistance, and $1300 in lender credit I will be buying my home for less than 3 grand. I am a little flabbergasted right now, but cannot wait to sign the papers and get my keys on Tuesday!
Thank you for ALL your help and transparency! You are a blessing to us who are wanting to take that leap of faith. Keep sharing! I’m a fan /supporter for life.
I so appreciate your videos. We were moving right along 'til we had to switch into a FHA 203k. The new loan teams quote make no sense and now our loan officer isn't responding, but keeps pushing us to sign more documents and pay fees to keep the process going. Finding your channel gives me hope there are honest people in the business still out there. 😅
I'm sorry it happened to you. If you need to ask for more information about mortgages, loans, or need assistance... you can always go to winthehouseyoulove.com or watch my live stream on Wednesday.
@@WinTheHouseYouLove thank you! We called our realtor and she brought in another lender she works with regularly and trusts, who is now overlooking the entire process as another set of eyes. We got a new loan estimate within 24hrs and everything is back on track now. The new estimate looks as it should with no random 22k in additional random charges. (We were looking at 46k in closing costs originally on a 250k home.) Thank you SO SO much for your channel. It's made knowing and being confident in the process significantly easier. 😊👌
I see so much bait and switch. I’m a rescue lender so many times because of these issues. I am very transparent and up front with people. Treat people with the platinum rule and you will never go wrong.
My loan officer has the 11k closing costs itemized which was very helpful in understanding what is being charged and why. Very professional and transparent and fast paced! I went with Pacres Mortgage. I’ll be in this house in less than a months time from looking at homes to placing an offer to getting a counter offer to settling on 40k under what they were originally asking and inspections appraisal etc! Less than a month! I thought this was going to take forever!
He forgot to tell you that behind your loan is extra points is call hidden points like extra 2 points that you never will see is included in your interest rate so let's say 2 points that is up front points they will put in your closing cost but the others 2 points are not put on paper I call that a fraud on loan officers yep how I do know that I worked for a broker and banks is extra points to them is stealing from customers even I myself being charge that is extremely hard to fine that is done on purchasing and refinancing and equity loans yep they are stealing money
Our new builds preffered lender in AZ mistakenly quoted us by calculating 20% vs 20k down.we were so excited with the quote we gave earnest money the next day and stopped looking elsewhere....resulted in 7 months of checking everything single thing this loan officer told me or gave me! Then kept pushing us into a fha loan and said they could refinance me into a conventional loan later... most exhausting time of my life. I ended up going with a conventional!
Woah! For this kind of life decision, we really need to slow things down and make sure to research well. In your case, at least you were able to get home no matter what loan it is. Thanks for watching!
I ve been bidding since March and I finally found something yesterday. Make sure you put on realtor to show you listing as soon as they come out. you will see the listings with in an 1 hour. That is how I found my condo.
Also, to lower the cost ask your realtor to present the offer with all costs paid by the seller. That way you will only have origination + appraisal. If someone takes a quote from the loan officer, BEFORE going into the contract, they don't know who pays what. After 2010, no one can manipulate the cost numbers. Whatever LE states, that is it. Also to cover all costs, have your LO raise the rates and get the discount. That way you are NOT paying a dime in cost. Good video
Mortgage processor here - if a homebuyer is looking for a prequalification letter to show a seller, it’s not an official application which requires the disclosure of a Loan Estimate, which quotes the actual closing costs and estimates prepaid and reserves for closing (all on top of the down payment). My advice would be to still shop around (and be very very quick about it) for the best rate and closing costs after you’ve put in an offer with the original prequal. If you’re a strong borrower, you can easily switch lenders if the original prequal lender isn’t best for you.
Agree with getting all costs up front. I was a mortgage lender for 6 years following 35 years in banking. The most important thing is to find a loan officer you can trust. He or she should WANT you to have all the costs up front along with the full monthly payment because you will need to qualify based on those and the loan officer loses a paycheck if you end up not qualifying. Choose a loan officer like you'd choose an electrician or any other professional - by referral from a satisfied customer - best if from someone you know personally. These days a loan officer cannot legally quote just a rate without quoting the A.P.R. as well. It's very easy to estimate costs and there are templates for this. I used an Excel template that proved to be very accurate. Lenders usually want to OVERestimate costs because they know a good surprise is better than a bad one, especially when some is being allowed to spend less than they expected!
Hey Bruce! Thanks for sharing your experience as a mortgage lender. I completely agree with you about the importance of finding a loan officer you can trust. Having all the costs up front, along with the full monthly payment, is crucial for qualifying and avoiding surprises later on. Referrals from satisfied customers are a great way to find a reliable loan officer, just like you would with any other professional.
That is such a display of good will... promise you man, this will build such credibility...that you can't buy with money. But with honesty and once you have it.. No marketing budget will beat that... Gracias hermano!!!
After watching this I'm very thankful for my lender! The actual closing costs at the table is a couple thousand less then my original estimate came in at.
Wow several thousand less is a huge difference! Do you remember which parts the lender overestimated in the original loan estimated compared to the closing disclosure?
At what stage I expect them to give me the loan quote with your suggested breakdowns? At the initial pre-approval stage, qualified pre-approval stage, before going to contract? What should I do if I still don't get the full picture from them? At what stage I should shop lenders?
Had this happen to me. She lied about their closing cost fees and tried to get me to get a loan for the amount I didn't have at the very end of the process. We told her NO and went to another lender. Wasted 3 months.
We just closed a house last night. Our lender never transpsyto us since day one. They quoted us lower than what we paid when were in the title company. From $35K plus to $40K plus already and none of them( my agent and my lender) showed up during my closing. So upset with them! We found out that my agent and the lender officer are friends. That’s why our agent told us to switched from our previous lender and give us a new lender.
Thank you for all this information. We’re under contract and we’re dealing with two lenders who are being very cagey about giving us Loan Estimates. I’ve sent them all the info outlined in the CFPB site and insisted that we want a Loan Estimate. Waiting to hear back. Also going to ask around to other lenders. Hoping they’re not all like this.
Both lenders said they will send Loan Estimates. They said they never send Loan Estimates without also sending Loan Disclosures. I appreciate that the lenders want to look over the sales contract first for any potential issues that could scrap the deal, but I was so surprised how reluctant they were to send Loan Estimates. It makes it very hard to compare lenders, especially if your closing date is a little more than 30 days out. I’m wondering what we should have done beforehand to make this part easier, because we feel really rushed.
@@tarawalton6778 When we sent them official requests they did send Loan Estimates. The person we were originally working with had a higher interest rate than the other so we ended up switching lenders. It was stressful for a week or so, but we’re so happy with the rate we got.
As someone 16 years in the business the algorithm sent this video to me. I feel you got it a little backwards. What I feel is shady is when I get an competitors LE with severely underestimated escrow collection (1month taxes and 1 month insurance…then 1 day interest lol) that’s shady. Really on a purchase the 800 fees SHOULD be what the consumer is focused on because the rest an unscrupulous lender can make look more attractive. I’m talking LE’s specifically.
Taxes have doubled and tripled in many areas, insurance as well. There's both planned Obsolescence and accidental Obsolescence... Due to ignorance, if you don't know, you don't know.
Yeah Veterans United severely under quotes the property taxes and gives higher than market rates. Make sure to shop around for a lender for sure and understand all the fees on the loan estimate.
Did my refinance 2 times, bought my house september and able to get rid of pmi asap.. I never pay for any closing cost.. If you know what your doing, u will not be cheated
I’m slated to close on Monday. My lender is a wolf in sheep's clothing. Promised my closing cost would me no more than 23k and hid the numbers all the way to the end. Now my cash to close is 29k
I was waiting for this but luckily closed with only around $700 total for all of the closing costs. Pretty surprised honestly how low it ended up being.
I disagree on only focusing on section A fees. Some lenders will lump all of their costs in section A, some tend to break down some of those costs in section B to make section A look better. Section B costs can increase up to 10% so this can make a difference.
Hi ,I am honestly going through this right now, I am in the middle of my contract in which I am just a stone throw away from closing.Then he surprised me with a new coat of 20k more.At this point I wish I could switch him.
In the process of a new build in PA. Loan process is a nightmare. Difficult to obtain 3 loan estimates. In fact while watching your video, one potential lender (you alluded to them ) seems a little sketchy to me after doing some on line research. I love this channel. Do you do loans in PA?
Thanks for the info! The information was really helpful. Quick question for you. If a lender doesn't list an underwriting fee in Section A, are they allowed to add it later after a loan package estimate was already provided?
They can, but you are not allowed to pay for it. Section A costs are under zero tolerance meaning any overage not approved by a valid Change of Circumstance must be covered by the lender
The lender was trying to rip me off. Over 22k to close. Was trying to charge 16k in fees and 10k down but added 5k back to the mortgage. Meaning only half of the down payment was even applied to the loan. He had loan orig fees, processing fee and underwriting totaling at $10k. Two weeks to close and I said not going with them. Supposed to close in a week so not sure if It will
Oh no! Is it possible it was an FHA loan and the up front mortgage insurance was added to the loan? I'd be happy to take a look if you'd like. Feel free to email me kyle@winthehouseyoulove.com
Loan officers make no additional money on closing costs so I don’t see why they would try and hide it? Comp plans have changed very much since the SAFE act and all the disclosing has made this a better industry.
if you're buying a house, and don't know you're going to have closing costs.....you probably shouldn't be buying a house. not trying to be rude!!! just saying --- you're going in BLIND
My lender sent me a loan estimate but it didn’t include the earnest money or the sellers contribution to the deal. She keeps saying that it’ll be updated “later on in the process”. It’s been 21 days & the appraisal hasn’t been completed. I’m backing out of the deal.
I'm in the Clear to close state now. If they pull anything I'll walk away! Yes I want the house I found but I am not committed yet. They already paid for.the appraisal and everything else. They did pull one trick on me and didn't give me a choice for the down payment, I'm locked in to 15% I wanted to pay 20% + but they said if I change it it has to go through underwriting again and could cause the closing date to get messed up😮 I'll see when I get tbe total. Hopefully I don't have to walk away I spent a lot of money living in an RV waiting for this.
Hey Kenneth! It is true that if you change your down payment amount, it does have to go through a quick underwriting check. But that should take 24 hours tops. It's possible a new CD has to be created which would start the 3 day waiting period.
Great video! First time buyer here. Condo shopping. It's been a little bit stressful but I am trying to roll with it and be patient (easier said than done) Are there any closing cost fees you would say are rather easy to get waived?
I used a mortgage calculator from a prospective lender and I got a rundown of all the costs, even prepaid reserves. 1. Is this a good sign of an honest bank to work with? 2. Will these numbers be close to what I’ll be looking at at the closing table? Thank you
my loan offer said it shouldnt be more than 7000 while we already have a pending contract. when it finally finished, it was whopping 16k. I'm like holy fuck
Sounds like it's too much trickery going on with these greedy loan officers trying to make a year salary on one deal! If I was quoted something and the actual amount was double the quote, I would run fast from that person 🏃🏃🏃🏃🏃
I just lost a deal to a lender that wasn't accurately disclosing to the borrower. Undercharged and missed fees. I had them conditionally approved with my Underwriter with accurate fees from title and they won their offer with my pre-approval and then they switched.
I signed my loan documents with the cash to close being $200 10 days before they send me another document saying when i chose to lock in the cash to close was actually $5000. I'm not buying it..
Yes they are jacking up your interest rate to cover the closing costs. Whenever any lender offers no closing cost refinance ask what the rate would be if you paid closing costs. The other trick is they say no closing costs but they mean no out of pocket closing costs so they increase your loan amount to cover closing costs. Overall if it sounds to good to be true it is
Should i not compare escrow and prepaids across different lenders when shopping loans? For example do different lenders have different prepaid or escrow requirements which you may consider when deciding which lender provides better overall value?
I’m rechecking my closing costs from 2 years ago. My original fees go as such: 2.514% of Loan Amount (Points) = $12,113 Underwriting Fee = $1,055 Did I get screwed or something?
you're misinformed if you think a realtor only SHOWS you a home. your buyers agent is showing you homes and spending a lot of time NEGOTIATING on your behalf. also commissions have ALWAYS been negotiable, AND it is SPLIT with the listing agent. also keep in mind your agent is PAYING THE BROKERAGE a piece ALSO. if you don't want a buyers agent, that's fine, but know what you're doing otherwise the listing agent is going to tear you a new one and you won't get a good deal. and NO i'm NOT a realtor!! Happy House Shopping!
Can you change from lender to going to a bank when your threw a offer on a home and got approved but also got approved from a bank and the lender has a higher interest but still haven't signed the final closing coast
Damn boy that title scandalous.
Telling it like it is 💅
My two favorite mortgage youtubers!
He's keeping real, and for that we respect him.
@@xavierblackburn4650 Mine too...lol. They're like "work spouses" and don't give a f*ck! I love it!😁
Thank you 💯
I'm very transparent with my clients, I think the more we educated them on what’s included and how it works the better we are setting them up for success with their loan.
Quick question do you charge for delivery fee? I think it’s when you sell the mortgage loan but the bank charges the buyer that fee?
@@fivestar000 we don’t sell our mortgages, we keep them in-house and service them ourselves.
Actual conversation:
“Hey loan officer, is there any to get a lower interest rate?”
“No, we’re too deep in the process, this the best loan for you”
“What about buying points?”
“Oh yeah….. blah blah blah”
*trust broken”
If I hadn’t seen TikTok about buying points I would have never known, I was the one that had to bring it up. Who knows what other possibly helpful information he kept from us
MY first loan officer failed to tell me about the interest rate buy down. Didn't know about it until a different lender explained it to me. Kind of called the 1st lender out on it and they offered a match with the second lender. I told the first lender goodbye and went with the lender that was more transparent.
@@larrycruz-j8x do pay for mortgage applications
Omg buying a house is a real nightmare. , no way
It's not always easy
It’s generational wealth gotta start one way. Or better yet start a business but definitely have to build that future wealth
Well...not really a nightmare. It's a process and it's just 1 time and with a good loan officer who communicates and educates- it makes it worth it😊
The cheapest loan officer isn’t always the best! If you have an LO giving FULL transparency on what they cost and what their rates are, that lender will go much farther than an LO looking to make a quick buck. Cheapest doesn’t always mean best or honest. I would rather work with a lender with a 3.65% and know what I’m buying versus a 3.25% and be taken advantage of.
100%. The right loan strategy is better than a wrong one even if it has a lower rate
The good news is you can probably find a great lender that is also competitive on price. Kyle will connect you!
Why not have both? Low rate and good service. There are plenty out there.
Thanks a huge million for sharing this..I haven't owned a home since 05' and lost it due to mortgage fraud. This time around I want to avoid any and all problems through my research. You're doing the right thing by sharing this info. You gained a new subscriber..!
Thank you so much for watching!! :)
We just left a lender that was charging us higher fees and left out the other closing cost fees then proceeded to bully us because we went with a lender that was better and more upfront with their fees in section A. They tried to win us back by saying they can remove third party fees from the closing coat which I know they can’t do that.
OMG, the same thing just happened to me today, that is why I am on this site. The bullying is no joke. They better not do anything with my PII
Seller credits
@cyndigreenwood3272 wait!! We are getting seller credits? What's the issue with those?
The only break down fees the Loan Agent provided to me was insurance and flood insurance. Only because I asked for a break down and continued to say he don't have a break down. I asked for my pre approval letter, could not provide that either. Off to find another Agent. Too many red flags. Anyone know of a 203k loan agent please feel free to reply. Thanks!
The consumer laws protect you from third-party fees, that's why they were considering removing those extra fees.
I always break down all costs to my clients before moving forward. It is easier that way. I totally agree with you
Thanks for watching!
We’re closing soon! Appraisal came in $10K over offer, didn’t have to sell my blood or soul. Ive been watching Javier and you for two years. Thanks for all the helpful info!
Thank you so much for watching!! :)
Did you get to close?
@@harlemkid144 yes! Smooth and quick process thanks to all the info.
@@LazyLadyy congratulations! I'm still searching its tough in fl market
@@LazyLadyy you had to pay the 10k out of pocket right?
I have a friend who noticed at the closing table that the lender did not include the amount of interest rate points she bought down, instead he pocketed the money. She refused to signed the closing docs, the lender had to go home & fix the documents. Crazy!
The next biggest trick I deal with - discount points! As a lender I notice way to many borrowers not understanding this and come to me saying they have a better rate, send me the loan estimate only for me to point out the quote is showing them paying am additional amount of money to buy the rate down to the quoted rate
Yes!! I'm working on a tool that can help people see that more clearly!
Has the tool been developed yet?
Do you work with people in Texas?
@@jamesbonacci3148 can you help me review a CD I feel I’m being taking advantage of me and my wife, we close on August 9
1 thing my loan officer did, besides giving estimates on 3rd party costs, was that I had to take an online class they require that explains all the costs on the loan estimate (among other things). Even though I did my research as well as took the course, I did something you instruct. Shop around, get all the information, and to get the full picture, STAY IN BUDGET!!!!!!
Love it, great suggestions!!
how is it not a legal requirement to make the borrower aware of these cost? are they not essential to the home purchase?
It is a legal requirement to disclose these on the final closing disclosure. Being that most closing costs are 3rd party costs chosen by the seller it’s impossible to know upfront
The only fees that have to do with the lender is in letter a of page two on the loan estimate. Everything else is pretty much within the borrower's control. If you're buying a house either the buyer or the seller picks the title company, and the title company will be happy to give you their fees before you apply for the loan. The entire right side of page two in the loan estimate is not fees, it's taxes, interest, insurance and the county filing fee, all of which have nothing to do with the lender. The appraisal fee is about the same regardless of lender, but sometimes you get a tight appraisal market where there are no appraisers who will take the bid and in order to get an appraiser you have to pay him whatever they ask. But pending all these fees on lenders or loan officers is not fair. We didn't create the system. This is a government create a document that everybody uses. And it's hard to get borrowers to understand that all of the fees on this page with the exception of letter a are completely under their control and they spend incredible effort getting various lenders to compete based on these fees. That's why you get some lenders that low ball the fees if they can. Because they know that it will ultimately depend on the buyer and seller picking the title company.
When you're buying a house just ask how much is the appraisal and how much is your processing, underwriting, origination and are there any points. Everything else doesn't matter because it's exactly the same no matter which lender you use.
Thank you for MUCH needed clarity on this.
Bait and switch! So many of them do it. I walked away from a deal at the closing table with Veteran’s United for hidden costs.
Oh wow. I was considering them today. I’ll see what they offer once they get my contract tomorrow
Did have pay for mortgage application
Yes, some of these lenders are unethical and need to be reported. They messed up a lot of my deals in the past as a Realtor because they're freaking liars!!!
Ours said we needed 19k. 6 weeks before closing it changed to 31k. Had to come up with 12k in a month but we did it.
Dealing with the same thing now.
As a licensed LO in WA State, I see this all the time and it's frustrating! When our competition is essentially lying to customers, and then by closing it's too late for them to switch.
It's the worst!
@@WinTheHouseYouLove I've seen them just leaving off section F and G fees completely. Can you imagine at closing getting hit with a $4,500 whoopsie? I feel bad for first time homebuyers especially!
@@CurranLong hey you work from Vancouver Washington?
@@vorutouzamaki2635 I do!
@@CurranLongI feel that there are far too many LOs out there who wing it when it comes to calculating cash to close. I had a realtor with 35 years experience tell me that it’s his number one gripe.
I feel empowered so when we start , we will know things they think we don’t.
I am closing on my first home in five days, and it has been a whirlwind the past three weeks! I have been planning on using down payment, assistance grants, however, the amount was variable so it was just solidified today… With total closing costs $20,000, taking away $8000 in seller credits, $8000 in down payment assistance, and $1300 in lender credit I will be buying my home for less than 3 grand. I am a little flabbergasted right now, but cannot wait to sign the papers and get my keys on Tuesday!
Congrats!!!
So you basically put nothing down,,how much is mortgage Goin to be??
@@tucoramirez9729 3% down, total mortgage loan is $270k making the payment $2200
What mortgage assistance did you use??
Thank you for ALL your help and transparency! You are a blessing to us who are wanting to take that leap of faith. Keep sharing! I’m a fan /supporter for life.
I so appreciate your videos. We were moving right along 'til we had to switch into a FHA 203k. The new loan teams quote make no sense and now our loan officer isn't responding, but keeps pushing us to sign more documents and pay fees to keep the process going. Finding your channel gives me hope there are honest people in the business still out there. 😅
I'm sorry it happened to you. If you need to ask for more information about mortgages, loans, or need assistance... you can always go to winthehouseyoulove.com or watch my live stream on Wednesday.
@@WinTheHouseYouLove thank you! We called our realtor and she brought in another lender she works with regularly and trusts, who is now overlooking the entire process as another set of eyes. We got a new loan estimate within 24hrs and everything is back on track now. The new estimate looks as it should with no random 22k in additional random charges. (We were looking at 46k in closing costs originally on a 250k home.) Thank you SO SO much for your channel. It's made knowing and being confident in the process significantly easier. 😊👌
CONGRATULATIONS!🤗Keep us posted.
Update please
Great video! As a loan officer at my company we strive to be transparent as possible with our clients and disclose all those third party fees!
Awesome!
I see so much bait and switch. I’m a rescue lender so many times because of these issues. I am very transparent and up front with people. Treat people with the platinum rule and you will never go wrong.
My loan officer has the 11k closing costs itemized which was very helpful in understanding what is being charged and why. Very professional and transparent and fast paced! I went with Pacres Mortgage. I’ll be in this house in less than a months time from looking at homes to placing an offer to getting a counter offer to settling on 40k under what they were originally asking and inspections appraisal etc! Less than a month! I thought this was going to take forever!
He forgot to tell you that behind your loan is extra points is call hidden points like extra 2 points that you never will see is included in your interest rate so let's say 2 points that is up front points they will put in your closing cost but the others 2 points are not put on paper I call that a fraud on loan officers yep how I do know that I worked for a broker and banks is extra points to them is stealing from customers even I myself being charge that is extremely hard to fine that is done on purchasing and refinancing and equity loans yep they are stealing money
Our new builds preffered lender in AZ mistakenly quoted us by calculating 20% vs 20k down.we were so excited with the quote we gave earnest money the next day and stopped looking elsewhere....resulted in 7 months of checking everything single thing this loan officer told me or gave me! Then kept pushing us into a fha loan and said they could refinance me into a conventional loan later... most exhausting time of my life. I ended up going with a conventional!
Woah! For this kind of life decision, we really need to slow things down and make sure to research well. In your case, at least you were able to get home no matter what loan it is. Thanks for watching!
I watched this video with my loan estimate documents in hand. I think I'm okay👍 Thank you!
Glad it was helpful!
✍️✍️ literally taking notes. Now I just need a house keep getting out bid
Same
You can do it! Best of luck!
I ve been bidding since March and I finally found something yesterday. Make sure you put on realtor to show you listing as soon as they come out. you will see the listings with in an 1 hour. That is how I found my condo.
Also, to lower the cost ask your realtor to present the offer with all costs paid by the seller. That way you will only have origination + appraisal. If someone takes a quote from the loan officer, BEFORE going into the contract, they don't know who pays what. After 2010, no one can manipulate the cost numbers. Whatever LE states, that is it. Also to cover all costs, have your LO raise the rates and get the discount. That way you are NOT paying a dime in cost. Good video
Mortgage processor here - if a homebuyer is looking for a prequalification letter to show a seller, it’s not an official application which requires the disclosure of a Loan Estimate, which quotes the actual closing costs and estimates prepaid and reserves for closing (all on top of the down payment). My advice would be to still shop around (and be very very quick about it) for the best rate and closing costs after you’ve put in an offer with the original prequal. If you’re a strong borrower, you can easily switch lenders if the original prequal lender isn’t best for you.
What if they find out and turns out they were the best out of the others you shopped but don’t want to work with you anymore?
Not only did my lender get bought out just before close, not all costs were disclosed and my payment went up $300 from what I was told!
Agree with getting all costs up front. I was a mortgage lender for 6 years following 35 years in banking. The most important thing is to find a loan officer you can trust. He or she should WANT you to have all the costs up front along with the full monthly payment because you will need to qualify based on those and the loan officer loses a paycheck if you end up not qualifying. Choose a loan officer like you'd choose an electrician or any other professional - by referral from a satisfied customer - best if from someone you know personally.
These days a loan officer cannot legally quote just a rate without quoting the A.P.R. as well. It's very easy to estimate costs and there are templates for this. I used an Excel template that proved to be very accurate. Lenders usually want to OVERestimate costs because they know a good surprise is better than a bad one, especially when some is being allowed to spend less than they expected!
Hey Bruce! Thanks for sharing your experience as a mortgage lender. I completely agree with you about the importance of finding a loan officer you can trust. Having all the costs up front, along with the full monthly payment, is crucial for qualifying and avoiding surprises later on. Referrals from satisfied customers are a great way to find a reliable loan officer, just like you would with any other professional.
This just happened to me and I had no idea what happened- so frustrating! Thank you for explaining this.
That is such a display of good will... promise you man, this will build such credibility...that you can't buy with money. But with honesty and once you have it..
No marketing budget will beat that... Gracias hermano!!!
Wow! Thank you so much!
After watching this I'm very thankful for my lender! The actual closing costs at the table is a couple thousand less then my original estimate came in at.
Congrats!
Wow several thousand less is a huge difference! Do you remember which parts the lender overestimated in the original loan estimated compared to the closing disclosure?
bro, automatic subscription - Im grateful for people like you. I appreciate you - definitely using these tips
You are the kind of person that is one who cares I'm trying right now to purchase a house
Thank you for watching. Best of luck!
At what stage I expect them to give me the loan quote with your suggested breakdowns? At the initial pre-approval stage, qualified pre-approval stage, before going to contract?
What should I do if I still don't get the full picture from them? At what stage I should shop lenders?
That’s a good question. I hope gets back to you on this.
"Closing costs are $4,999." How? Closing costs vary depending on the price of the home, the interest rate, taxes etc.
Correct
Outstanding work, sir! Well done.
Thank you, sir!
Had this happen to me. She lied about their closing cost fees and tried to get me to get a loan for the amount I didn't have at the very end of the process. We told her NO and went to another lender. Wasted 3 months.
We just closed a house last night. Our lender never transpsyto us since day one. They quoted us lower than what we paid when were in the title company. From $35K plus to $40K plus already and none of them( my agent and my lender) showed up during my closing. So upset with them! We found out that my agent and the lender officer are friends. That’s why our agent told us to switched from our previous lender and give us a new lender.
You always share helpful information. I've shared your videos with clients because you tell the truth and you educate. Thank you!
Awesome! Thank you!
Thank you for all this information. We’re under contract and we’re dealing with two lenders who are being very cagey about giving us Loan Estimates. I’ve sent them all the info outlined in the CFPB site and insisted that we want a Loan Estimate. Waiting to hear back. Also going to ask around to other lenders. Hoping they’re not all like this.
Wow! Best of luck!
Both lenders said they will send Loan Estimates. They said they never send Loan Estimates without also sending Loan Disclosures. I appreciate that the lenders want to look over the sales contract first for any potential issues that could scrap the deal, but I was so surprised how reluctant they were to send Loan Estimates. It makes it very hard to compare lenders, especially if your closing date is a little more than 30 days out. I’m wondering what we should have done beforehand to make this part easier, because we feel really rushed.
I find this VERY frustrating as well. How did everything work out?
@@tarawalton6778 When we sent them official requests they did send Loan Estimates. The person we were originally working with had a higher interest rate than the other so we ended up switching lenders. It was stressful for a week or so, but we’re so happy with the rate we got.
As someone 16 years in the business the algorithm sent this video to me. I feel you got it a little backwards. What I feel is shady is when I get an competitors LE with severely underestimated escrow collection (1month taxes and 1 month insurance…then 1 day interest lol) that’s shady. Really on a purchase the 800 fees SHOULD be what the consumer is focused on because the rest an unscrupulous lender can make look more attractive. I’m talking LE’s specifically.
I subscribed, look forward to more content. I mean your not wrong, especially on the underestimated payments, see that a lot.
Lol the 1 day interest is always in there 🤦♂️
Taxes have doubled and tripled in many areas, insurance as well. There's both planned Obsolescence and accidental Obsolescence... Due to ignorance, if you don't know, you don't know.
Yeah Veterans United severely under quotes the property taxes and gives higher than market rates. Make sure to shop around for a lender for sure and understand all the fees on the loan estimate.
Always ask for "Cash to close" rather than their fees
Thanks for watching!
Did my refinance 2 times, bought my house september and able to get rid of pmi asap.. I never pay for any closing cost.. If you know what your doing, u will not be cheated
Yes, I agree. It is nice that you took the effort of knowing things first before you get into that loan. Thanks for watching!
Costco was the best $250 loan fee
I wish you were in Florida!
I’m slated to close on Monday. My lender is a wolf in sheep's clothing. Promised my closing cost would me no more than 23k and hid the numbers all the way to the end. Now my cash to close is 29k
Oh no!
I was waiting for this but luckily closed with only around $700 total for all of the closing costs. Pretty surprised honestly how low it ended up being.
Wow can I ask who did your loan
Wow! Congratulations!
ABSOLUTELY AWESOME!!💯
When to ask for true cost break down? Because my potential lender is keep giving me examples saying to go over options when we make an offer
I disagree on only focusing on section A fees. Some lenders will lump all of their costs in section A, some tend to break down some of those costs in section B to make section A look better. Section B costs can increase up to 10% so this can make a difference.
I agree. I've started to include in videos since this one to look at Sec A and B
I am afraid to make the leap.
I think at this point you probably know more than most lenders and realtors!
@@WinTheHouseYouLove personal confidence is the bigger block. Can you give me a push?
Hi ,I am honestly going through this right now, I am in the middle of my contract in which I am just a stone throw away from closing.Then he surprised me with a new coat of 20k more.At this point I wish I could switch him.
This channel is the best!
Coz I have the best audience! Thanks for watching!
In the process of a new build in PA. Loan process is a nightmare. Difficult to obtain 3 loan estimates. In fact while watching your video, one potential lender (you alluded to them ) seems a little sketchy to me after doing some on line research. I love this channel. Do you do loans in PA?
You. Are. Damn. Awesome! Thank you!
Another great one. Intersting that you are in Dayton Ohio because I was born there and lived in Huber Heights OH for 22 years. Thanks for posting.
Oh wow! Thanks for watching!
My loan officer tried to charge more on origination fees. But I caught him and he charged me 1K more for something else
Ew I hate that
Thanks for the info! The information was really helpful. Quick question for you. If a lender doesn't list an underwriting fee in Section A, are they allowed to add it later after a loan package estimate was already provided?
They can, but you are not allowed to pay for it. Section A costs are under zero tolerance meaning any overage not approved by a valid Change of Circumstance must be covered by the lender
The lender was trying to rip me off. Over 22k to close. Was trying to charge 16k in fees and 10k down but added 5k back to the mortgage. Meaning only half of the down payment was even applied to the loan. He had loan orig fees, processing fee and underwriting totaling at $10k. Two weeks to close and I said not going with them. Supposed to close in a week so not sure if It will
Oh no! Is it possible it was an FHA loan and the up front mortgage insurance was added to the loan?
I'd be happy to take a look if you'd like. Feel free to email me kyle@winthehouseyoulove.com
What a low budget lender… “we’ve got you pre-approved, 2.75% rate. Good luck! Happy home shopping!”
-0.643 rate!! Lock in today!
Loan officers make no additional money on closing costs so I don’t see why they would try and hide it? Comp plans have changed very much since the SAFE act and all the disclosing has made this a better industry.
I literally talk about why at 5:30
I had to ask 1 million questions to get my loan officer to admit that I will have additional closing costs besides the down payment. Smh.
if you're buying a house, and don't know you're going to have closing costs.....you probably shouldn't be buying a house. not trying to be rude!!! just saying --- you're going in BLIND
@@Seashellsbytheseashore21 already knew. The point is that the person who was supposed to be transparent about it wasn’t!
Great timing on this video! I'm going through this now. Thanks for the info!
Sure thing thanks for watching!
@@WinTheHouseYouLove I'm supposed to be closing on Friday but still waiting on appraisal and cash to close going up every week!!!🥴🥺 please help
@@russycox 🙏🏾🙏🏾🙏🏾
@@AsIs2884 thanks ima hope for the best
You don’t get your rate till your in contract and it’s locked , some people think the preapproval default rate is the rate
My lender sent me a loan estimate but it didn’t include the earnest money or the sellers contribution to the deal. She keeps saying that it’ll be updated “later on in the process”. It’s been 21 days & the appraisal hasn’t been completed. I’m backing out of the deal.
Mesmerized by your note overlay. How are you recording (i.e. what software) and how do you get that transparent overlay? BTW great video too!
another great video. really good info
Glad you think so!
I'm in the Clear to close state now. If they pull anything I'll walk away! Yes I want the house I found but I am not committed yet. They already paid for.the appraisal and everything else. They did pull one trick on me and didn't give me a choice for the down payment, I'm locked in to 15% I wanted to pay 20% + but they said if I change it it has to go through underwriting again and could cause the closing date to get messed up😮 I'll see when I get tbe total. Hopefully I don't have to walk away I spent a lot of money living in an RV waiting for this.
Hey Kenneth!
It is true that if you change your down payment amount, it does have to go through a quick underwriting check. But that should take 24 hours tops.
It's possible a new CD has to be created which would start the 3 day waiting period.
It's scary. Loan Mtg Companies are corrupt
😭
Helpful video! I am following your channel 👍🏻
Welcome to my channel! I hope you will learn tons here. Thanks for subscribing. :)
Your video was so helpful thanks 🙏
Thank you so much!
My loan officer was the star when I purchased my home.
Great video! First time buyer here. Condo shopping. It's been a little bit stressful but I am trying to roll with it and be patient (easier said than done) Are there any closing cost fees you would say are rather easy to get waived?
I used a mortgage calculator from a prospective lender and I got a rundown of all the costs, even prepaid reserves. 1. Is this a good sign of an honest bank to work with? 2. Will these numbers be close to what I’ll be looking at at the closing table? Thank you
It's a range, you can also try my own calculator in this video. I hope it will also help.
Also when they said it’s free run the other way as fast as u can. Nothings free.
LOL! I will run as fast as Forrest Gump!
my loan offer said it shouldnt be more than 7000 while we already have a pending contract. when it finally finished, it was whopping 16k. I'm like holy fuck
Icky
😮BIG difference!!
🤣🤣🤣,....
Sounds like it's too much trickery going on with these greedy loan officers trying to make a year salary on one deal! If I was quoted something and the actual amount was double the quote, I would run fast from that person 🏃🏃🏃🏃🏃
Great Great video. Thank you so much.
If I have my credit score number letters and I choose to go to 3 different lenders,each one of them has to run the credits again?
Excellent video!
Thank you! Cheers!
Thank you for this!
Thank you so much for watching!
21,000 to close up here in NY 😭
I just lost a deal to a lender that wasn't accurately disclosing to the borrower. Undercharged and missed fees. I had them conditionally approved with my Underwriter with accurate fees from title and they won their offer with my pre-approval and then they switched.
So frustrating! We need a support group lol
@@WinTheHouseYouLove we do. Got my LE couple days ago
They will regret it when they close and see the difference.
What is a reasonable percentage a lender/bank charges for a re-fi?
You explain information with ease and simplify things I love this I'm a new subscriber ❤️❤️❤️
I signed my loan documents with the cash to close being $200 10 days before they send me another document saying when i chose to lock in the cash to close was actually $5000. I'm not buying it..
Oh no! Check with your loan officer on what changed
Can you explain if there are tricks in "no closing cost" refinances?
Great question, if you can remind me on the next live I'll talk about it :)
There’s always closing cost, when it comes to refinances the closing cost are financed into your loan. I’m a loan officer I’m Chicago.
*in
Yes they are jacking up your interest rate to cover the closing costs. Whenever any lender offers no closing cost refinance ask what the rate would be if you paid closing costs. The other trick is they say no closing costs but they mean no out of pocket closing costs so they increase your loan amount to cover closing costs. Overall if it sounds to good to be true it is
Love this video🏠❤️Do you o loans in Fl?
Yes, I do. You can check my website for information: www.winthehouseyoulove.com/
Should i not compare escrow and prepaids across different lenders when shopping loans?
For example do different lenders have different prepaid or escrow requirements which you may consider when deciding which lender provides better overall value?
This entire video explains that. The answer is no. Those do not change. Those are set by county and your insurance you go with
Was told I wouldn't need more than a certain amount then when I received the initial disclosures it's a whole 5k more🤔😑
😖
12K more for me
@@biancalord488 wooooah, that's ridiculous
Great explanation … thank you
Thank you so much for watching!
I’m rechecking my closing costs from 2 years ago. My original fees go as such:
2.514% of Loan Amount (Points) = $12,113
Underwriting Fee = $1,055
Did I get screwed or something?
Taxes and homeowners insurance escrow would pmi be in escrow?
Realtors are the ones charging 6% together. So complain about that too! 6% to SHOW me a home, smh.
you're misinformed if you think a realtor only SHOWS you a home. your buyers agent is showing you homes and spending a lot of time NEGOTIATING on your behalf. also commissions have ALWAYS been negotiable, AND it is SPLIT with the listing agent. also keep in mind your agent is PAYING THE BROKERAGE a piece ALSO. if you don't want a buyers agent, that's fine, but know what you're doing otherwise the listing agent is going to tear you a new one and you won't get a good deal. and NO i'm NOT a realtor!! Happy House Shopping!
Great video
Glad you enjoyed it
Can you change from lender to going to a bank when your threw a offer on a home and got approved but also got approved from a bank and the lender has a higher interest but still haven't signed the final closing coast