Tuesday, February 24, 2015

An Offer Is Not Always What It Appears To Be

An offer comes in on a listing I have and since my fiduciary responsibility is to my seller I have to check out the details of the offer. Make suggestions on counter offer points, clarify anything sellers do not understand, and determine if the loan qualifications are good.....they sure best be.

I see properties come back on the market all the time and the agent remarks sometimes say "Buyer Could Not Get Loan". I think, hmmmmm, didn't the listing agent verify the capability of buyer before putting their seller in a position to lose valuable time on market?

At any rate, offer came in yesterday. Agent writes a note that says buyer is well qualified with high FICO scores. Offer is excellent price wise, terms, a couple items need to be corrected is all. I let my seller know that it's been received and that I am communicating with buyers lender to confirm qualification to close the loan.

Here is where a good agent, like myself, works through necessary items for their client.

First off lender is from out of state. So I confirm that he is licensed to do loans in California and knows about timing differences here vs. where he is. Yes he is and does. Then I ask.....have you done an income verification with tax returns and run credit or did you just do a phone interview? Sheepishly he says he just did a phone interview. I tell him do income verification and run credit....then get back to me. So a few hours later he e-mails me to tell me that while the buyers agent says buyer has high FICO scores, lender determines otherwise.

At this time, I say, yep, we need to cross qualify with my preferred lender. If this lender says it's a good loan, do I trust him? Or, do I continue to protect my seller and insist on buyer cross qualifying with my lender that I know will give me the full story and tell me if this buyer can really close on this purchase?

This morning I'm waiting to hear from original, out of state, lender about the probability of closing. Then, in between other appointments, I'll let buyers agent know that even though his lender says it can happen....we need my lender to say the same.

No comments: