Loan Officer Laziness Revealed! – Anonymous Confessions of a Loan Officer

We look to our trusted Loan Officers for guidance
on what our options are when it comes to home financing. But what if the advice we receive
is simply inaccurate? Hi, I’m Kathy Schmanthy, and this is Confessions
of a Loan Officer on Mortgage TV Today I had the chance to speak with bleeeeep
bleeeeep from Zip-a-dee Do-da Mortgage Inc. His identity will remain anonymous, but I
was able to get some feedback from him as to why or how he gave such false advice to
a client on a mortgage. Take a look…” Fade into interview setting Mr. Smith, we’ll call you, thanks for being
here today. So as you know well know you’re in a position to make or break the dreams
of potential homeowners yes, a big part of my job is setting proper
expectations And our viewers were hoping to get some feedback
on a particular situation in which you advised your client that the only way she could buy
a home was if she put 20% down. Do you recall this instance? Sure do Okay, can you tell us what lead to this decision? Absolutely. The client was in a unique situation.
She had a couple different sources of income, one of which was income that was only received
part of the year. In a situation like that, it can be very difficult to get approved without
substantial down payment or compensating factors. I told the client that yes, we can get you
approved, but I need you to definitely put 20% down so that we don’t have too much hassle
on approval. I see. But isn’t it true that in many cases,
seasonal employment can be an acceptable source of income with less than 20% down Well it’s complicated Isn’t it true that if you have 2+ years history
of receiving seasonal, verifiable, employment income it’s possible to use that income without
putting 20% down assuming all other factors are in line? Well… Do you think she didn’t have anything better
to do with her hard earned money? Like, let’s say, invest it? Right, I mean… With mortgage interest rates being at record
lows, does it not make a lot of financial sense to invest your assets, allowing your
money to grow in other ways? Um… What would you say if I told you that your
client ended up getting approved with 5% down? Look, it was a unique scenario. There was
a bit more going on than I would have liked to deal with. And… Wait, let’s make sure I understand what you’re
trying to say here… Because it was a unique scenario, because your client may have required
a little bit more attention to get approved, you simply advised that she put 15% or $22,500
more down on a home than she needed to? I think this interview is over I think you may be right

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