October 2017

Importance of Customer Service

Whether you are a Mortgage Broker or an Auto Repair man….customer service is important. Check out this video on some tips and hear from David at Black Diamond Mortgage as well as Andy from Acme Auto!

Construction Deal – Tips

The construction process can be tough, but if you work together with the Lender and Construction Team, it will make for a smoother process.

Collateral Issues with a Mortgage Transaction

Maria – We are back for our 3rd installment of closing tough deals.
-covered 2 of 3 C’s (Credit and Cashflow)

Danelle – today we talk about the Collateral. Not all homes are perfect. And sometimes there are challenges to overcome. We are here to talk to a past borrower and his real estate agent.

Introductions – Hi, I’m Sam Siddall w/ National Parks Realty
Hi, I’m Bryce, the homeowner!!

Maria to Sam – What are some challenges you’ve seen with properties?

Sam – List examples of property repairs that can cost the whole deal to fail.
-Foundation Damages – Longevity of property
-Safety issues – Risks –

Sam to Bryce – We had some of these issues with your property –

Bryce – Talk about the roof needing repairs and the deck needing a safety railing

Danelle to Maria – These sound like reasonable things, so why can it be a deal breaker? Can’t they just fix it and move along?

Maria – Sometimes it comes down to money. How are the repairs getting paid for? Can the seller afford it? Should the buyer have to pay? What if they want to split it?

Sam – Talk about the option of seller fixes it and pays

Bryce – willing to maybe finance it into his loan and pay it at closing, but only if you can afford to increase your loan that amount

Maria – Sometimes, there can even be a compromise! Have the repairs done and the invoices paid at closing by both seller and buyer!

Bryce – That is what we did in my case because everyone really wanted the deal to close, so we opted to share the costs!

Maria – It’s really about working together to find the best solution for everyone & get the deal done!

Danelle – Thank you for watching. Thanks Sam and Bryce for helping out. Please like and Share!!

8 MYTH’s BUSTED (except for the last one…)! Mortgage Brokers v. Mortgage Bankers

A recent observation is that mortgage “bankers” and “traditional retail banks” tour Realtor offices and other venues touting that they are somehow better than mortgage brokers at providing the funds needed to purchase a home. (Black Diamond Mortgage Corporation is proud to be the experts in real estate finance, and a mortgage brokerage to the core!)

So we have decided to list the traditional talking points and BUST THE MYTH’s!

Myth #1 (BUSTED!) – Mortgage Banks are more lenient than Mortgage Brokers, because they are loaning their own money.

Fact: Black Diamond Mortgage provides more options and more expansive loan offerings than any one banker can.

Supporting facts:
– If you had your own money to lend, would you take more or less risk with it? LESS, of course! So the only way to provide more options than you would offer with your own money, is to have the option of using other people’s money that would take more risk than you.
– Mortgage brokers can literally present a loan to a 2nd, 3rd or 4th wholesale bank (when necessary) as a brand new loan, with a brand new underwriter, with the broker learning from each lender’s response, and insuring the best presentation with the most likely approval possible.
– Mortgage brokers are not limited to the opinion of one underwriter, Many mortgage bankers with their own underwriter’s “cannot walk back” a loan situation that may not have benefited their client, and could have been presented differently.

Myth #2 (BUSTED!) – Mortgage Banks can “get things done” easier, because they have direct underwriting access.

Fact: Black Diamond Mortgage staff are better trained in going to the source for facts, and with today’s technology, if an underwriter has a phone (all of them do), then they are equally accessible to bankers and brokers.

Supporting facts:
– Most loans offered are using Fannie Mae, Freddie Mac, VA, USDA or FHA guidelines. These guidelines are used by underwriters to approve loans. Even a client can look up the rules and push an issue with an underwriter when needed.
– Because mortgage brokers have access to multiple lenders and underwriters, they have more than one opinion to draw from whenever there is a question about underwriting guidelines.
– A mortgage banker is limited to the opinion of the underwriters and policies of the bank they work for. These opinions do vary and often there are differing conservative v. liberal policies, so the only way to offer the most expansive approvals is to have more options.

Myth #3 (BUSTED!) – Mortgage Banks can offer better interest rates / loan pricing.

Fact: Black Diamond Mortgage will obtain loans from wholesaler mortgage banks that are MUCH larger than any individual mortgage bank or retailer….think BUYING POWER! – COSTCO!

Supporting facts:
– Mortgage brokers can shop loans with several wholesale banks in seconds, often identifying pricing disparities of up to 0.25% on the interest rate or cost savings of thousands of dollars!
– Mortgage brokers offer the lender paid compensation model, where the borrower pays the mortgage broker NOTHING, and the entire compensation comes from the wholesale lender.

Myth #4 (BUSTED!) – Mortgage banks fund the loan in their name, and this is better for the client.

Fact: Black Diamond Mortgage funds mortgages in the name of the lender actually collecting the mortgage payments on the future loan and do not “act like they funded the loan” only to sell it a few days later for servicing.

Supporting facts:
– The majority of all loans backed by Fannie Mae, Freddie Mac, VA, USDA or FHA are sold at least one time during the life of the loan.
– Having the loan close in the name of the first bank to plan on collecting payments, eliminates the confusion of a sale being completed right after the client closes (this is the practice at many “Mortgage Banks”).
– Many clients at mortgage banks complain about their loan being sold, shortly after closing.

Myth #5 (BUSTED!) – Mortgage banks have “in-house” or portfolio loans, and Mortgage Brokers do not have them.

Fact: Black Diamond Mortgage Corporation offers loans that are unique from several banks, credit unions, and wholesale lenders, all designed to meet niche needs in the lending universe.

Supporting facts:
– We have Lenders that lend to foreign nationals who live abroad, offer commercial loan underwriting for residential purchases, and is a retail bank offering unique lending options to mortgage brokers for clients.
– Some of our Lenders and other partners of ours offer “NON-QM,” “Bank Statement Only Programs” and other unique options.
– Another Lender, offers 1xClose Construction loans with no money down.
– And another one of our Lenders offers conventional and FHA renovation mortgages with the 1xClose Construction Options.

Myth #6 (BUSTED!) – Mortgage banks are local / personal, mortgage brokers do not know or care about you.

Fact: Black Diamond Mortgage employs many who live in the community that we serve, own homes funded by Black Diamond Mortgage.

Supporting facts:
– Clients obtaining the loan at Black Diamond Mortgage will be supported by the loan officer, the operations manager and our “Coordinateur de L’Experience Gentile” … all local and very interested in your success.
– Our investors use regional employees as well….many employed in Montana, Idaho and Washington.

Myth #7 (BUSTED!) – Mortgage banks are faster than mortgage brokers

Fact: Black Diamond Mortgage operates very fast, with resources much larger than our own company, and the ability to offer the fastest interpretation of new TRID closing laws.

Daisy at Black Diamond Mortgage

Non-Myth #8 (MYTH NOT BUSTED– TOTALLY TRUE) – Bankers are “stiff”, a little too good than the rest of us….

Fact: Black Diamond Mortgage staff are laid back, our dogs come to the office, and you can pick up a company labeled beer coosie or ski strap when you come by to hang out….

Stop by a mortgage broker like Black Diamond Mortgage, and see the difference for yourself!