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Are brokers really lazy? Here's what an industry giant says

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Mortgage Professional America | 18 Sep 2014, 08:00 AM Agree 0
One of the biggest names in the industry sounds off on a reader's contention that brokers are 'lazy and complacent'
  • DD | | 18 Sep 2014, 09:45 AM Agree 0
    I agree with the comments that brokers are not lazy. I will say though the comments regarding brokers having more options than any mortgage bank is factually incorrect. I owned my own broker shop for 19 years and now work for a mortgage bank. An actual bank that does mortgages not a broker with a line of credit. How many brokers offer new construction mortgages? How many brokers have the option to close a mortgage with the bank or to broker the mortgage outside of the bank? How many brokers have the option to provide a lender credit to a client? how many brokers can sell directly to Fannie, Freddie, Wells, Chase.... I love my past life as a broker but to say brokers have more options and provide the best deals just is not true in today's marketplace.
  • DE | | 18 Sep 2014, 10:15 AM Agree 0
    Are you serious? I have had my broker shop for 18 years. Brokers CAN offer the Borrower a Lender Credit!! Why would you think differently? We do have Construction to Perm Loan Programs. We have several different programs available for Construction projects. Why would we want to offer the borrower an opportunity to close with a Bank there are not benefits. We offer them the Best Price.
    We do not have to sell to Fannie, Freddie, Wells, Chase or any of the other larger Banks. That is not a benefit to the Borrower and it certainly does not in any way change the AUS findings because you can sell to those entities.
    Banker's have a lot more overhead with the Advertising than a Broker will ever have. Broker's do not have the overhead which causes the Bank's to raise the fees.
    Brokers can adjust the fees to meet the needs of the Borrower. Big Banks mandate what fees will be charged and there is not getting around it. I too have worked with a big Bank, I would never go back.
  • David Matthew | | 18 Sep 2014, 10:30 AM Agree 0
    Did anyone read Michael's entire post? He is right. He was not speaking to workload or against the broker industry, but against the new flock of MLO's that simply do not know how to do their jobs. I for one, have been doing this since 2006 and have ever strived to learn this craft and anticipate the changes that have beset us. Was RESPA 2010 REALLY that scary? No, it was not. Yet I still work with originators that have NO IDEA how to complete a GFE or a change of circumstance. I agree that broker's are indeed the best deal around and have stolen MANY a deal from big bank. Let's be honest, big bank is tired of losing interest spread to broker's at rates they would NEVER quote. I also agree that we contend with a seemingly unending torrent of regulation that A) Costs consumers more and more EVERY single time they are implemented and B) are implemented by those that either hove no desire to see the broker succeed or have no understanding of what a mortgage transaction is. Either way, the vast majority of these new regs are well intentioned and DO NOT work as such. Kind of like communism. Michael is correct and his comment was taken out of context. Furthermore, I do not appreciate that this comment was taken out of context to springboard commentary and attention to this blog. Take it for what it is. If you are broker, try to act the part. We are a good thing. Try not to spoil it for those that actually care and still take joy in closing a mortgage.
  • cheryl m | | 18 Sep 2014, 10:57 AM Agree 0
    Very true comments were taken out of text. David Matthew WELL SAID, brokers "who don't know how to produce a proper GFE, heck I have brokers who don't know how to calculate income and use PO Boxes for addresses. That's not lazy, just not doing what you have been trying to do "strive to learn the craft," Being lazy and not studying goes back to grade school. Ask questions, use some common sense and listen.
  • TKirby | | 18 Sep 2014, 11:30 AM Agree 0
    Brokers aren't lazy! Love what Ishbia from United Wholesale said. He gets it. Great to see some high level executives see what is going on in the broker world.
    Just because we don't have the money, or ability to fight every rule, doesn't mean were lazy. We work hard every day and do what's best for the customer.
    I am sick of people still referencing "brokers from 2007", there were bad brokers then, there were also a lot of bad lenders, and banks and more. People in the business today are serious about the broker business and are thriving.
    also great point on products and pricing for consumers, as he is right. Brokers have more options and better pricing than lenders. I used to work for a lender, and it was SO limiting. Broker shops are the best for originators and consumers, and more and more people will see that each day that passes.
  • LP | | 22 Sep 2014, 08:28 AM Agree 0
    an article questioning how hard brokers work. only 5 people respond and one is obviously not a broker. what does that say?
  • ScottPrevett | | 22 Sep 2014, 01:30 PM Agree 0
    It says they're too busy working, rather than spending the time reading an online forum.
  • ScottPrevett | | 22 Sep 2014, 01:30 PM
    Deleted by moderator
  • Teri G. | | 02 Oct 2014, 05:55 PM Agree 0
    My husband and I have been brokers for nearly 20 years....during the good, bad, ugly, and recovery. I will say this much....we don't have a lazy bone in our bodies, we work 12 hr days without blinking and eye, we work weekends, we work evenings, we've raised 5 children with the industry, we are licensed, after being tested, bonded, and branded. You won't see P.O. boxes on our 1003's, we can do those, 1008, GFE, TIL, COC, VOE, VOR, QM, MLDS, 4506T, HUD, ETC in our sleep, ALL without compromising our customers NTB. We are originators, processors, closer's, underwriters, QC, compliance officer's, credit counselors, examiner's, accountants, HR depts, attorney's, directors, board members, title agents, closing agents, appraiser's, inspectors, contractors, & community participants. I applaud UWM for recognizing that we are the elite of the elite!! We have not sold our souls to the corporate banks, just so we didn't have to take a lil test, and get paid more than anyone for doing and offering less. I didn't say we were the brightest crayon in the box (cuz we didn't sell out for a cushy chair, a registration number, and a salary to work 9-5)....but we sure are the most colorful....I wouldn't change my profession for anything except a retirement...and I'd venture to say the thousands of customer's we've helped over the years, many, repeatedly....are grateful we feel the way we do. Sorry for the delayed response, but I was a little busy....not being lazy.
  • James Van Vleck | | 03 Oct 2014, 11:37 AM Agree 0
    Jim Van Vleck,
    I have been in the business for 29 years , 16 as a manager for Commonwealth United ( part of Bank United ) as a Mortgage Banker and 13 as a broker , Most mortgage brokers are not lazy ,we work extremely hard to keep up on all the latest products , we must take 8 hours of classes every year , pass tests , have our credit checked on a regular basis . I work way over a 40 hour week and work hard to get my clients the best deals . I often close mortgages that Chase and Wells Fargo and Bank of America told the clients they could not do . they do not think out side of the box .
    I am a professional at the highest level . to be called Lazy is an insult, probably by someone who would have no idea how to put a mortgage together to be compliant with all of todays regulations . he is either ignorant or blind , in my opinion
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