Watch Out Loan Shoppers - Your lenders are hard up.
This article is prompted by three radio advertisements by mortgage lenders that made me furious. Remember I have worked with hundreds, even employed over 100 at a time.
The refinace hey day is over. These bloaks who made a killing and don’t want to go back to their previous jobs (singing and entertaining perhaps, perhaps comedy) are playing all kinds of tricks on consumers. Even some brokers that have an overhead and lived nice on refinances are in trouble.
So I find they have hit the radio waves and don’t be deceived. Here are snippets (Sorry for the plagiarism Bonnie Erickson of Real Estate Snippets) of what I heard on the way to the store.
1: I can give you a 1% fixed mortgage.
Liar Liar Liar. This is an ARM most of you would vomit over rather than take. That is unless you were tricked by this dupester.
2: I can give you a loan with no closing costs: I will even pay for your appraisal. There is no need or sense in paying closing costs with the other guys. This is a new plan we can provide you.
Liar Liar Deceiver and Liar
If you go no closing costs you pay a higher rate. It isn’t a new concept, it isn’t exclusive to any broker.
3: Rates are at an all time low.
They are not.
Please don’t respond to a radio advertisment. If you think you should refi check the average rates we post each thursday. This is a survey not an offer. I and other lenders post our rates each Wednesday. The composite is published as an average. It is only an indicator.
If it looks good to you, contact a local real estate agent for one to three lender referrals. This is your best opportunity for a good experience. In Washington State, and Nevada I am prepared to set you up with a great loan officer that works with real estate agents. Larry Cragun
Loan
We have a guy here in town that runs those ads all the time… “closing costs are a racket” “don’t let those predators take your hard earned money”… etc.
The old adage “there’s no free lunch” still applies.
He’s probably the biggest thief of them all…
Does your state have loan officer licensing Doug?
These very lies are the reason real estate agents want to recommend their own loan originators. At least we know “bait and switch” isn’t going on and the programs are clearly explained to our clients. It still boils down to “there ain’t no free lunch”!