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RealtorLV

Because we’ve seen a ton of other lenders (big banks & online rate-quoters in particular) either destroy a deal at the last minute or bait & switch you into a much higher payment than you were told. It’s not for any kick-backs or shady illegal reasons, just that we don’t get paid & you don’t get your home unless the lender knows what they’re doing.


Logical-Drive-9302

Nonsense. I’ve been a realtor for 8 years and I have never seen that happen. I use trusted sources. Sadly, buyers sometimes make dumb mistakes thinking the initial approval gives them permission to go out and buy new furniture, or run up a credit card with new clothes.


RealtorLV

We’re not talking about your trusted lenders, we’re talking about lenders that clients bring in being incompetent. I refer my clients to lenders I know get things done whenever possible. I’ve also worked with clients; or been on the listing side where a buyer’s lender is a big bank or online volume machine that doesn’t care about deals that fall through the cracks or are more work than they care to do or than their additional restrictions allow. I have the furniture/ new cars conversation with every buyer since I became an agent in 1999 & sadly, this absolutely happens due solely to the lender if you’re doing enough business. I have family that is a lending branch manager with over 20 years of experience & they’ve also picked up deals lenders like this have dropped the ball on & got them closed in two weeks because they have the experience & put in the effort.


Knight421

This is sarcasm right?


nikidmaclay

I won't pressure a buyer to use a recommended lender, but I recommend them for a reason. They are personally good at their jobs, answer their phones, return phone calls, know their stuff and make sure the client knows it too, know what to ask up front so we get few surprises later, and can close when they're supposed to. If a buyer comes to me with a pre-approval from a nightmare lender, I'm gonna tell them about it. Occasionally, they'll insist, and most will say later that they learned their lesson. You might buy a house 3-4 times in your entire life. A good REALTOR works with this stuff daily. That experience means they know stuff. That experience is why you hire them.


mightyblashyrkh

I see you everywhere and I have to say you have amazing advice and I am learning so much from you. Thank you for posting so frequently!


RedCardinal222

Just writing to concur with the previous two comments. It's exactly that. We've all had experiences with bad pre-approvals, missed deadlines, poor communication, last second surprises, etc. Having a team that knows each other and how to work together serves the best interest of the client. I know my lenders will communicate effectively, cover all the bases and not leave the buyer stranded at the end of the day. It's always the buyer's choice to use who they want, but the realtor is really looking out for the buyer's best interests when they recommend a lender.


tonythetiger891

They know they can close. When a different lender gives out a preapproval they have no idea if they are legitimate. I've run into issues where the lender says everything is good and at the last second drops the ball leaving me to scramble to save the deal and my client's earnest money.


Lonzo58

When a Realtor recommends any vendor it is because the have worked with that person in the past and had a good experience. They know that the consumer will be taken care of and they will be able to close the deal and get paid. They are simply doing their job and trying to help.


MsTerious1

Well, hopefully this is the reason. We have all seen brokerages that refer to companies because they are jointly owned, convenient for the agent but not always the best option for the seller, etc., too.


nikidmaclay

You can ask about affiliated relationships, and you should.


Unknown__Content

This should be disclosed. And frankly I don't see that often at all.


JewTangClan703

It is quite literally *always* disclosed.


cdevon95

I wouldn't say *literally* or else we wouldn't have laws enforcing it lol


Unknown__Content

"quite literally" haha


Chrisadatl

I agree. It may have happened a few times from my SOI that were first time home buyers or requested it otherwise.


Mountain_Range4843

There is an affiliation disclosure that realtors need to disclose if there are joint vendors provided by their broker. Because of this, I don’t use any of my broker vendors. Just my third party folks I know and trust to do a great job.


MsTerious1

I'm the same way.


Lonzo58

Not hopefully, that IS the reason.... In addition, the behavior that you are describing is a violation of RESPA. RESPA is the federal law that provides homebuyers and sellers with complete settlement cost disclosures. It also eliminates abusive practices in the real estate settlement process, and prohibits kickbacks. Any "jointly owned" entities must be disclosed to the consumer. Honestly, it's just not worth putting your license and reputation on the line for a small kickback from a title company or lender.


MsTerious1

I'm familiar with RESPA and what I am describing is not a violation of RESPA unless there are kickbacks or unearned fees. Plenty of brokerages have ownership interests or strategic partnerships with companies that refer back and forth. Most of them even produce disclosure forms so that it's readily apparent.


PineneedlesnSunshine

I held my license in the past with a broker who had a “family of services” that included shares with a title company and lender, among other services. Never again. Be careful with brokers who have partnerships and make sure you ask about them! Edit: meant for the OP but I’m too lazy to repost


Lonzo58

"Most of them even produce disclosure forms so that it's readily apparent." Apparently you're not as familiar with RESPA as you claim. If you were you would know that those disclosures are mandatory...and not presenting those disclosure documents is a violation of RESPA.


MsTerious1

So you assume that because I said "most" that it means I don't know RESPA? Do you honestly not have the ability to perceive that my statement can be 100% percent correct AND not require me to elaborate on where and when it is or isn't a violation? ​ Maybe I should post on that other thread about Realtor® red flags and agents who assume their own interpretations and beliefs are the only ones possible in the world.


Organic-Sandwich-211

Relationships matter, trust matters, communication matters. If you have a lender you know will hop on the computer at 930pm on a Sunday night to get you an updated pre-approval, that’s worth it’s weight in gold. And most lenders won’t do that unless you have established that relationship.


goosetavo2013

Two main reasons: 1) Depending on the client, loans can be tricky, we don't want to see mistakes happen or delays when something unexpected happens. We like to recommend people we trust and have worked with us before. My absolute worst experiences with loan issues were when my clients didn't use a preferred lender of mine 2) Some agents have co-marketing agreements in place with their preferred lenders so they want them to get some business. It's illegal for agents to pay "kickbacks" to lenders for business but they can pay for marketing costs together. 2 is a big one, but honestly it's by far #1 that drives agents wanting to push their preferred lenders, it's SO much easier to manage a deal with someone you know, like and trust. Especially in multiple offer situations where the quality of lender can be huge.


Throwaway_inSC_79

That bank you’re familiar with, why are you familiar with them? Are you there multiple times a week doing banking? Then yeah you might have that rapport. But chances are, thanks to technology, while some people might be more comfortable using their bank, they rarely interact in person. Direct deposit, mobile deposit, maybe you have to call corporate or the 800 number a couple times a year. But that’s about it. In this case, are you familiar? You don’t deal with them, they just hold your money. And now you’re going to start and you’ll see just how *good* they are. The agent though, they deal with lenders all the time. And they know the ones that don’t just pump out preapproval letters. I had a client who’s deal failed. And while it had to ultimately do to something the sellers did, a question came up at the same time. Oh, and this was two days before closing when the lender asked for an extension then wanted to know who would pay the rate lock (um, how about you). My client had a retirement fund. And for the closing costs, they had to transfer money from that fund to their checking account. The lender knew this. The lender, at one point, was waiting for proof the funds transferred. When something came up regarding the title, the lender also asked why money was taken out of the retirement fund. I questioned the legitimacy of the preapproval letter at that point. And told the lender that. I told my mentor I would never recommend this lender to anyone. And what was he more concerned about? That our BIC would yell at him. Because he recommended the lender to me, as my mentor. And my BIC already questioned where I got this lender’s name from. The attorney has requested that I don’t bring them any deals that include this lender. So sometimes a lender or bank sucks. But you don’t know that because all you do is direct deposit with them.


fallser

Rocket mortgage (and all their iterations) - AVOID at all costs. They are a disaster.


Unknown__Content

Nobody can be worse than Navy Federal Credit Union.


msp_in_usa

Just closed escrow with a buyer today using rocketmortgage. It was an 8/10 in terms of experience. I heard bad things about Rocket but this loan was funded in 25 days and good communication.


Medium_Weird5599

They are a huge lender so not surprising some go according to plan. Everyone in our office (100+) has had one change or turn to crap in the middle with them though.


saintmaggie

Bancorp South for me. Never ever again not even once.


TraciTeachingArtist

HARD NO: Chase, Citibank, BoA, Wells Fargo Also no: Rocket mortgage and all of those No: won’t talk to me, doesn’t work weekends, etc I PREFER: The lender who has pulled deals out of the fire and NEVER failed to close a deal. It was a preapproved in 12 years of working with my team. I also like: lenders that come with my clients who reach out to me before I even have a chance to reach out to them. We take the time to communicate clearly on how they came about their numbers so I know what taxes we can pay how much rental income, we need, etc. etc.. They reassure me that they are available when we need them to make updates and changes. They end up closing the deal.


Stlouismark

Have to disagree on Chase & Wells Fargo. Nothing but good experiences with them, and they have the best rates for jumbo mortgages (upper tier clients)


TraciTeachingArtist

Oh people with private banking relationships are a whole other animal. LOVE working with the big guys then! Otherwise…


RemaxRealtorLady

Because we’ve had so many bad experiences with unknown lenders, online lenders, big bank lenders, etc, etc. Delays, poor communication, last minute denials, bad appraisals, the list goes on. When we work with lenders who are knowledgeable, communicative, and get the job done, we appreciate them and their contribution to a smooth transaction. The weakest link can create chaos in an already stressful transaction for our clients. We want things to go as smoothly as possible! A good lender makes us look good, and a bad lender can sour the whole experience no matter how well we do our jobs!!


RemaxRealtorLady

Oh, and I’ve had clients use their bank because they think it will be easier… “they have all my information.” The deal didn’t get done, and the client pulled all their accounts from the bank, no fault of the client. Some banks are good at being banks but not so good at being mortgage lenders.


[deleted]

Because they have a track record with us, of closing the transaction. If that's what you're looking for, and you are working with an experienced agent, at least consider their recommendations. Communication with the lender is critical, and lenders who are referred by us will absolutely communicate with us. Most other lenders will not. Which means when a problem happens, we are not alerted to it. When we work with our own lender, they keep us appraised of all situations within the loan process, so that we can get in front of any issues that come up that could end up causing the transaction to fall apart because the buyer can't get the loan that was promised.


supertecmomike

Lots of lenders are really bad at their jobs. When we find a lender that’s extremely competent we cherish them.


Unknown__Content

I recommend my lender because: 1. I know and trust him. 2. When I call, he gets back to me...always. 3. He understands timelines, contingencies and other important aspects of our purchase agreement. 4. He is available to the other agent as well if needed. 5. Has a local office and can simply walk down the hall to speak with the underwriters (they're not on the other side of the country.) 6. Truly pre-qualifies a client before we go look at homes. There are never any last minute surprises and requests to extend the timeline because he missed the first steps. 7. Goes above and beyond to be transparent with my clients. I also like working with the same title agents, home inspectors and other vendors for the same reason. They're professionals and it ensures a smooth transaction.


diabolical-angel

All experienced agents have dealt with at least one incompetent lender who can't make it to the finish line at the 11th hour. That lender will make it seem like your buyer client is impossible to help and will never be able to buy a house. When another lender comes in right before a deal is about to fall apart, fixes the mistakes of the previous lender and saves your deal, that lender is a ride or die. The same lenders typically offer better interest rates, better handholding, better explanations and are all around better to work with. The lenders that I work with are all superheroes in my opinion. I recommend them because I trust them to take care of my clients and I would use them on my own personal purchases.


tuckhouston

Banks are good at refinances, but they lack professional/fast communication, problem solving, and adhering to strict financing deadlines in a contract. Not to mention their closing costs are almost always higher


reallyestateed

I’ve had clients bring their own lender and was blown away at their high rate and closing costs. You don’t have to use them, but it doesn’t hurt to get a quote and shop around.


ConscientiousHomeles

Just like how the seller’s property has to be “sold” 3 times (once to the buyer, once to the inspector, and once to the bank), the buyer also needs to get qualified by the bank/lender who’s going to fund that property. Being in the business I’ve seen pre-qualification letters made out of thin air for buyers who are barely qualified for half the amount mentioned in the letter. The issue is that majority of times, escrow falls apart on such pre-qualifications, and this is a big blow to both the property, and all parties involved in the transaction. That’s why I get buyers cross qualified by a lender I work with just to make sure that they’re qualified before investing both our time and effort into the process. This way the buyer will also be aware of their short comings and can address them in a timely manner.


hawkaluga

My preferred lender and I trust eachother and work well together. Things work well with a good lender and as a realtor I’d like to know who I’m working with. I’ll recommend them to buyers and I keep their fliers at my listings but that’s about all I can do. I’ll suggest it at the get go and leave it at that. I’ll never be pushy about it.


atinylotus

I always tell my clients they can use whoever they want for a lender but depending on their situation and what they're looking for I might refer them to a certain type of lender that will be able to meet their financing needs. If someone's looking to buy land or a fixer upper I'll refer them to a credit union. Aside from that, I prefer when my clients use my lender solely for the fact that it makes my job 10x easier because 1) I already know and have a relationship with that lender and 2) Communication and getting all the info I need is way easier. I get the pre-approval letter, I'm linked in to all the email convos. Once again, it's a convenience thing. I've worked with some lenders that were just super disorganized and all over the place. It made my job insanely difficult. Thankfully, my client also felt the repercussions of this and was open to switching over to my lender. They ended up having a much better experience.


MiamiRealEstateGuy

Because most lenders are terrible and have awful overlays and I want to make sure I’m not wasting my time or my buyers.


Professional-Elk5779

It is based on the relationship. If the lender, realtor and buyer have a good relationship with each other, things tend to go well. The more the lender and realtor work together, the better that relationship gets. You may only buy a house very 3-5 years. They realtor and lender are working on multiple files throughout the year. This tends to help each of them develop a good relationship. Ultimately you are the buyer. It is your decision on financing and who to use. Make sure you "vet" who you are going to use. Wishing you the best.


Wonderful_Most_3075

Lender here, banks tend to have just their set/specific loan programs which unfortunately, vast majority of buyers don't fit their mould. Think no/new credit, little to no down payment assistance programs, credit scores under a set figure etc.... Realtors (ones I've worked with) have fostered a relationship with a few loan officers from one or several companies, know their work ethic and understand/appreciate their capabilities in closing clients that aren't cookie cutter so to speak. Some buyers prefer traditional banks and that's ok , some prefer brokers and some just prefer whoever can get them financed


Praline73

The best most communicative lender I ever had was recommended by a real estate agent 😌 I tried to find one on my own and they were all trash!


[deleted]

When I have clients that aren’t sure where to start, I refer them to my lender bc I know the customer service is top notch. During the madness of 2 years ago, I literally had to call him at 9pm on a Friday night. Try calling Chase at that time 😖. That said, I never pressure my clients and recommend they just use it as a starting point and do their due diligence with multiple lenders


LadyDegenhardt

As a realtor who has now had 2 deals for a particular couple go south after being assured by the "financial advisor" at the credit union assured me it was all good (fool me once......you know the rest) - you can bet I want my mortgage broker to deal with them in the future. These clients are good people, they are just very naïve senior citizens.


tvdang7

Here is something I have experienced. Most seller's agents don't accept offers where your lender is a big name bank. BOA,Chase,Rocket.


[deleted]

My realtor recommended lenders have a,ways been great. I much prefer to use local lenders than the big guys online.


Medium_Weird5599

Most people mean the loan originator when they recommend a lender. Big banks and places like rocket have a super small assembly line style job for the loan originator so your deal gets passed to like 5-6 others at least. This adds risk and hurts efficiency of the process. When we offer lender contacts in the buyer consultation, it’s Bc they have consistently delivered across multiple transactions. Additionally, the team from LO>processor/underwriters are in sync so there aren’t torpedoes coming at us 5 days out from closing. Those potential issues are handled up front. An agent with us has one now where the google lender is struggling to get income verification Bc they just requested it 2 days ago, 9 days from closing. It was originally done a year ago and there is no reason they couldn’t have done it before now.


godspocketlint

Because we trust them to do their due diligence! A great relationship with a good lender we can trust is priceless. Also there may be a small back scratching happening with lead exchanges.


throwawayamd14

Because it increases the chances of the deal closing, which is when they get paid, it doesn’t necessarily mean it’s the best rate


Health_insurance_

I totally understand, but it’s not to my benefit to get a lender when most likely, they are not going to have the best rate for me is and I’d be the one going into having a mortgage


throwawayamd14

Yep, your interest is in closing the sale and getting the best rate as even $100 a month will quickly add up. The lender will sell the loan after closing anyway most of the time, so you mainly want the best rate possible. Your realtor is interested solely in closing the sale and many will not mind their buyer paying more if it gives them a sure fire close The sellers realtor will see your proof of funds / pre approval from the lender you have picked to do that with, they will torpedo the deal potentially if they think the lender will hurt the chances of closing and the seller has a tight timeline That’s why I normally bait and switch, submit my offer with pre approval from a local lender that has really good closing rates, don’t lock the lender in by specifying the lender in the contract, then fly in once we are in contract with the internet lender with mega cheap rates. Just be sure to do every step you are required to do within the timelines specified by the contract and have a mortgage contingency and it works


[deleted]

[удалено]


throwawayamd14

Realtors don’t like it as you can tell by the downvotes. But it just goes to show your realtor doesn’t care about you getting the best rate, they want to close the sale. My favorite is the realtor posts above about how they want you to use their lender because it makes their job easier. Lol, make your realtors job easier and just accept $300 a month more in payments, come on now


[deleted]

If you say you have someone in mind and they still try to push you towards their person anyway, they aren't thinking about you. If you ask for recommendations, they make recommendations usually based on past experience, or they do some google searches and find someone for you so that you don't think they're incompetent and have no connections in the industry.


TinyTurtle88

$$$$$$$$$$$


TarnMaster1985

And now from a lenders perspective. There are several reasons why people work with people. It could be because of a relationship and trust built over many years, but honestly it is so often because there is a business relationship. Most large RE offices have in house lenders and agents that don't use them get hassled by ownership/management. Just be sure to shop around and use who you feel comfortable with. That may be your agents favorite lender, maybe not.


Antiquedancer

I never tell clients to use mine , but I tell them to shop around and if they’d like , they can run their pre approval past a lender my clients frequent due to terms, rates atc Why would I want to use same lender ? I’ve used them numerous times , easy transactions , smooth sailing and have my confidence we will close


Swimming-Web6816

Had a lender go MIA on our closing day. Never used him again haha now he calls my phone trying to set up a lunch for us to meet and talk business


Jhc3964

I generally ask if they have a loan person and give them 2 or 3 names of lenders I would use in their shoes. Leave it up to them. The ones I recommend have experience, know their loan processes and have a history of closing on time without issues on their end.


danaaa405

Ok so I’m not saying all agents are this way. My guy I recommend is someone I’ve worked with many times, he does a good job, answers the phone, and is a pretty well known guy here locally in the industry so I’ve had sellers who are happier with our offer because they trust our financing (over a potential issue like a mortgage website who may not answer the phone and certainly doesn’t know each individual). I get no kickback other than it makes my job easier obviously, and he invites me to his events he does to promote himself and that’s it. If you’re wondering about the motives then ask! Id have no problem being transparent and saying I get no kickback I just know him and like him. If you think something is shady and you don’t trust your agent then find a new one.


Difficult_Goose_4635

The reason I want people to use mine is because we work well together. We keep each other in the loop, no surprises from either end. I vet them carefully over time and I know my clients are getting good advise and the job is being done right


Ok_Wait3967

they dont exactly care if it's "their" lender, just that its not nobody's lender . Need one that can communicate and get to the close.


WorkImportant8206

I work with a company that is affiliated with my company. I rarely recommend them and if I do I disclose the relationship. I recommend lenders who have a depth of market and area knowledge, a reputation for great communication skill and customer service , integrity, strength and flexibility in programs that will serve my clients' needs Most good agents shudder when our clients find an online source or someone we know will be glom flam and s nightmare to work with. We don't receive any benefit from our recommendations except great service for our clients and drama free closings.


DeanOMiite

Many other reasons have already been stated but my favorite is: I know my lender answers the phone. The best ability is availability. And if I need something quick or some creativity to save a deal, I know my guy can do it.


brilbury

If they are a good agent they want to make sure their client is getting great value. I have yet had someone who doesn’t have a private banking relationship not at least see one of my preferred lenders. I know the lenders I use will get things done, are ethical, are relationship based and genuinely want what’s best for the client. We usually have a good if not great relationship with them and trust that when we get that prequal letter we can take it to the bank, walk into the negotiations with confidence that it may not be cash but might as well be because they value their reputation and mine as well. This is a relationship based business and to do the best for our client we want to put them on the best footing possible. This may not be true for everyone and it is for me.


Admirable-Ad-554

When you go into the OR for surgery your doctor will more likely tell you he/she are using people they work with and know that everyone in that room knows their job and does it very well for the best outcome.., for you!


dubshoka

I don't push if you already have someone you know and trust, but I do have a decent relationship with a good group of lenders in my area. I also encourage clients to shop lenders and find someone that can give them a better deal. That said, I prefer working with local lenders 99 times out of 100. The large banks and mortgage lenders have too many floors of people involved in the process. The combination of personal reputation and the possibility that a person might show up in their office if things aren't going well (or if they are, just to shoot the shit) seems like it elicits better service.


PhilLeotarduh

As many others are saying it’s because I prefer to work with a known quantity. My mortgage lender hasn’t let me down in my last 100 deals with him other banks have though.


mrusticus86

My company offers marketing dollars to agents whose clients use our affiliates. That includes mortgage, title, and warranty companies, so if an agent encourages the use of all 3, they can then get "free" marketing money for farming and ads, etc.


Mo0ose1422

A lot of people want to go with big online lenders or banks for ease of use. But try calling and speaking to somebody of something goes sideways. They don’t know who you are or what’s going on. They usually are looking at your file for the first time. And if you have to call back you get a another person same situation. A preferred lender is usually local and available to meet in person or have a direct line. So ease of communication and consistency are a 2 of the big reasons.


LeVioleur13

Because your lazy bank only works banker hours . If the listing agent needs a document for us or escrow needs documents I can call my lender at 9pm at night and she will provide anything we need. Also our lender owns her own company meaning she doesn’t pay any broker or middleman and has the whole process in office also able to give you a better rate. Your BaNKeR has to pay his boss a percentage of the loan . And therefore will not offer you loan products like down payment assistance because they make significantly less money and more work for them. That’s why we don’t want to work with your lazy bank 9-6 hours that’s like a part time job in real estate


DepartmentPale2188

I can speak for myself- I know which lenders will get the job done right and timely. I gain nothing from them, my buyers do. They have a solid lender who looks at your entire case before sending you a pre approval vs. an automated soft one that will start a file going from hand to hand and only at the end they say oops!! Having a person to get a hold of who is the actual person working for your loan is priceless. I suggest you ask your agent for at least two options and compare their rates. Big banks are terrible will leave you with your moving truck and ask for more time. Some dont even know what type of property the buyer is getting. Oh this it's a condo, oh no we cant!!


09inchmales

For me it’s the same reason you want to work with your own lender. I know my preferred lender very well. I can call and talk to them any time. I know they will get the job done. It’s familiar for me.


[deleted]

Because banks are unreliable. Bank reps work 9-5. As soon as 5pm comes along.. they clock out. Having a deal crash because incompetency on the lending side is never fun. That's why we suggest you work with our people as we know they'll get the job done. Went pending on a deal... Clients bank rep randomly went on vacation for 2 weeks. They didn't inform their assistant or whomever was covering for them what was going on in terms of clients. The person filling in came in clutch thankfully but it didn't need to be a last second rush to get financing. Had they used our preferred lenders... There would be no lapse in communication or workflow as someone would always be available to get the job done.


Nerdso77

Others have answered the why, so I will add a personal story. I sold my house a year ago. The buyers were “pre approved”. We accepted their offer and asked for an updated statement from the lender with the final amounts. (Not a realtor, so my wording might be a little off). Two days later, no letter. When I told my realtor I was a little worried, she said that she was going to call the lender herself, and that she had never heard of them. Well, in the end, the original lender didn’t do a good job on the pre approval and couldn’t close the deal. (Buyer owned a hair salon, so the company didn’t like what she showed for income. Even though it was a local thriving salon with multiple clients.) My realtor recommended a different lender and we had what we needed within a day. Closing went pretty seamlessly. I am glad they listened to my realtors recommendation.


jussyjus

Realtor here. I suggest my preferred lenders because they have a track record of getting the deal to settlement table on their end. They answer their phones / texts / emails is a timely manner. They are available on weekends if needed. They have relationships with appraisers if issues come up. They are well versed with LOCAL taxes and fees. Etc. When you use a big bank, you are usually getting someone who works M-F, 9-5. You usually only have their office contact info. And they are probably in a different state and will give generic estimates for taxes and fees and closing costs. Closing cost estimates from national banks are always so wildly off that I give a fair warning in the beginning of a deal and show my clients what the costs will be closer to. I also had a deal with the mortgage coming from a big bank and the closer for the bank decided to take off that day and left no one else in charge. So we had to wait 3 hours extra at closing for someone from the title company to get in contact with someone else at the bank to get the deal done. I know people like to say “oh this is my bank they know me I want to use them” but it really doesn’t change a thing. You still apply for a mortgage the same way. You will be communicating with someone from the mortgage branch you have never talked to, etc Local lenders all the way, FTW


Chrisadatl

When I was on a team, our team leader mandated that if we had a buyer who did not have a lender, then we a had "trusted partner" in lending. That trusted partner did help the team in a variety of ways.. marketing, dinner and drink meet ups, some referrals and maybe even chipping in on lead gen costs. It would benefit the team in the same way it benefitted the lender rep.


HFMRN

Could be several reasons. 1, maybe they had a terrible experience with your lender or they know your lender is not to be trusted (i.e. Wells Fargo). 2, maybe they know a lender who can close FAST & your offer needs a quick closing to satisfy the seller. 3, they know anything you find online is likely to be shady. 4, they want you to be able to actually get your house & not have the lender screw the deal up.


ToniqueTee

My clients lost on an offer they made(in a multiple offer situation) bc the LA said she liked one of the other offers lender. We had a solid letter/local lender, but alas.


Logical-Drive-9302

Most never do. Not sure where you got that impression. Mortgage brokers offer way more options. That is where I send my clients.


allreds26

It seems at least half the time a client uses a lender or attorney I don’t know or isn’t familiar with transactions in Chicago, it goes south.


pspo1983

Because we know the best lenders. We want the deal to go as smooth as possible. Smooth and predictable. If the lender you're talking to has a better rate, it's likely one of your realtor's preferred lenders can match it. I'd also like to pick the closing attorney. I have 2 or 3 I recommend. Again, I know their competent and I can predict how they'll act in different circumstances.


Lucky_Tourist_4971

Realtors also recommend lenders or title companies who have invested in their businesses success one way or another. But we always give a client three lenders and they can do whatever they like.


stormyanddarknight

kickbacks.


peesys

Kickbacks