Tuesday, July 23, 2013

When Will They Learn???

Really, I can't believe I even read this today. Mortgage broker giving bonus' to their loan officers if they convinced the borrowers to take a higher interest rate loan. I'm just appalled.....disgusted, and so glad they are getting their 'due'! The CFPB sued the heck out of them!

I really don't understand how someone can think they are above the law? And, how they are so willing to hurt someone's livelihood just to make a few bucks.

Yep, it really pisses me off!

Brand new client, first time home buyer, came with his own lender. I spoke with lender several times, seems to be on the ball, good staff, very responsive to calls and e-mails. The buyer called me and said the lender offered him two different interest rates, only an 1/8% difference, and if he took the higher rate the lender could give him 2500 towards his closing costs. 

So, in the above instance, is the lender getting a bonus? I honestly don't know. But, the buyer was smart enough to ask my opinion...yes, I'm full of opinions. I told the buyer what I know. If the mortgage broker gives out a higher rate than what buyer qualifies for, he makes more money. Of course it costs the buyer more money in the long run too. But, as long as it's discussed with the buyer and he makes an informed decision...I'm okay with that. 

However, if the buyers are just being shoved into higher rates with some B.S. reason....I'm sooooo not OK with that! 

My buyer, after the two of us put our heads together and did the math, 
chose the lower rate....I'm so proud of him......

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