MortgagesUndressed

This is one reason I write this blog. First, I will say I have read many of this guys articles, some are very good.

Michael Mahoney, area code 714, is a loan officer. He writes an article about second mortgages. If you were an inexperienced borrower here is how this article can mislead you: He gives you some product information. Fine. In the second paragraph he talks about fees. He references an $800 fee and says to check consumer protection. Whoopee, who is going to do that? But he so easily passed off the fact its 8 Points. Hey fella, where’s the beef? By that I mean the rest of the story. Where is the info about your local bank or credit union? The one that won’t charge any points? The one that doesn’t pick up a rebate for another bit of change. The one that probably has a lower interest rate! The one that won’t charge for an appraisal, credit report, processing fee, or other junk fees mortgage companies usually charge.

When I was a loan originator the local banks loved me, I always sent people to the local banks for their seconds. The clients loved me for doing so. Hey, it’s the right thing to do and wow, it’s good for a reputation. When our company was doing gangbuster business, if I had a loan officer do a second and make one dime on it, he or she was fired.

My advice; tell the whole story. Serve the customer. Inform your viewers about options other than those that serve yourself. For second mortgages, suggest they have other options. To not offer this is absolutely unforgivable to me.

I can hear you say, some don’t have the credit to go the route I propose. Most do and you didn’t discuss that option.

Larry Cragun

I have written about this already. Click here for the full story I wrote on June 2nd.