Mortgage Resources

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!

Income Issues in Mortgages – Video

Quick re-cap of the previous 2 weeks FB Live videos- stats on videos, encourage folks to keep it going by sharing, like and commenting

Dave points out that Leah knows how to work on tough deals… and knows video and radio… offers Leah to run this weeks show!

Everyone throughout the video is saying “when we close tough deals, we like to close tough deals… this is how you close tough deals… etc… as often as you can say “CLOSE DEALS” and “CLOSE TOUGH DEALS”…..

Leah- continue to comment on how important it is TO YOU AS A REALTOR for the lender to seek the highest and best approvals for the buyers and try not to be limited by one or two ways of doing the deal, but to vet out every way to get the buyer approved for the best loan amount

Tough Income comes down two 4 big concepts:

– #1- Becky – Getting all the information early (full disclosure- tax returns, assets, job history, other income docs that may exist… Becky needs everything to present the loan in the best light to the underwriter)

– #2- Danelle – Get an automated underwriting approval if possible…. automated = higher income usage and that = higher loan amounts … DU, LP, GUS, FHA ScoreCard, Proprietary UW Systems…. You want the highest allowable debt to income ratio approved possible to handle tough income (DANELL- TAKE THIS COMPLEX IDEA AND MAKE IT SIMPLE)

– #3- Maria – Lender shop! Contact tough loan underwriters, check with lender guidelines, look for “max guidelines” choose the lender based on their ability to approve the highest possible loan amount

– #4- Dave – (Secret / sneaker income!) – Co-signors, boarder income, switch from self employed to full-time, spouse removal from the application….

Close the video out- share, like comment, let us know if you want to be featured….

Next week- Closing Tough Deals V.4 – Danelle is running the show! Tough property!

Issues in Mortgages – Stay in the Boat

STAY IN THE BOAT!

Dave – Thank you for making last week’s video the most successful video in BDMC history… 6000 post views, 300 click thru video views! Clearly, live is better, and we will plan to keep delivering for you Wednesday’s at 11am, and topics of interest to you!

Here’s a quick Recap of tough deals week 1.. 3 C’s and Big G… full disclosure, always pay housing on time, and have a good excuse when you make a mistake.. watch last weeks episode on our FB Page, it was funny! And informative

Maria- Reminder: the emotional component of working on tough deals (recap, and we understand)… we were reminded in our last FB Live, by Realtor Brenda Twete, that in addition to the challenges of qualifying for a tough deal, there are challenges in keeping the deal together with all the things that can come up…

Dave – This is truly an interactive, live weekly show, so comment, like and share this episode or last weeks, and if you want join us for an episode to bring your expertise

Maria- Last Christmas we bought that picture for the office (explain a bit)…. So… We’re headed to one of Brendas listings here in Whitefish to meet up and talk more about how important the emotional component of a tough deal is…. next week, we will pick up on tough deals and income…

Dave- unless our audience gives us something better 🙂

Maria- hey, there’s Danelle Connors… Loan Officer at BDMC and local legendary Realtor, Brenda Twete!

Danelle- Mention that we are at one of Brenda’s listings with a few comnents.. ask Brenda what she told us last week during FB Live…. ….

Brenda- “Stay in the Boat!”

Danelle- What does that mean?

Brenda…. stay in the Boat explanation.. what it is, why it’s hard, what’s required, why it’s important to you, the client getting what you actually want and have hired a team of professionals to help you do

All- conversation… examples of staying in the Boat, one example of jumping out of the boat… more of staying in the boat.. examples of challenges that come up with all parties and name the parties: buyers, sellers, realtor (buyer and seller side), escrow, appraisal, home inspection, home insurance, lender (processors, underwriters, broker).. noncontracted 3rd parties … mom, dad, kids, friends….

Conclusion… surprises are fairly common, it’s how you handle them that makes all the difference… stay under contract as long as possible, and even if you fall out of contract, stick with your trusted partners … you can get back into contract or have your rights protected…

The deal is over when the ink dries and the county records, up until then, things can happen requiring a disciplined response!

Thank you for watching! Please comment, like, share… this will be on our page today..

Next week… Tough deals v3… Income… unless you give us something else!

If you want to be featured… let us know! 6000+ people saw our last FB Live video post

Special thanks to Brenda Twete and National Parks Realty!

Credit Issues in Mortgages-Video

Hello internet universe!
Welcome to our first facebook live broadcast! We are taking a break from closing deals and grabbing a coffee, so we thought we’d take a moment to cover “important tips” for closing tough deals!
I’m David Boye
Maria Phelps
Danelle Connors

When we are talking about tough deals…
We understand that there is a big emotional aspect to the equation! A borrower seeking a tough mortgage may have already been turned down once, so hearing that another mortgage lender will consider them is full of mixed emotions…
We get that, and will try to isolate the problem down to one big variable and make a clear decision on whether or not it makes sense to proceed or to wait until things improve before trying for the loan.

To close tough deals, you need to understand the basics of mortgage lending… all mortgages must address the 3 c’s in order to happen:
– credit
– cashflow
– and collateral
(cashflow is like income, and collateral is like the appraisal)
You have to address all three in some way to get a mortgage
There is one other secret weapon, i call it “big g” or the government… and they occassionally create ways to put less emphasis on the big 3 to get more borrowers into homes….
Today, we will talk “tough credit” and how those deals either happen, or when to wait and get the credit better before proceeding….

We have closed deals this year with borrowers having credit scores in the 580’s or even with borrowers having no credit score at all….
When these deals close, there are certain things that need to happen for them to work, but the good news is that these borrowers are closing this year and not being made to wait till next year!

So it we are going to talk briefly today about closing tough deals that many lenders would say no to, with borrowers that have a credit score under 620/640 or no credit score, or some derogatory information, liens, judgements or other rough credit events and how those loans can still close…..

3 big principles:
1) Full disclosure about everything!
2) Regardless of what the rest of the credit looks like, the housing payments are made on time
3) You need a good excuse for the bad credit

We want to get the tough loans to close! we will isolate the trouble down to one big variable, like something we’ve presented here, solve it with a viable loan- and then go for it!

If now is not the right time, the best thing to do is apply anyway so we can roadmap the way forward, because there is always a way forward from where you are

Next week! We hear that a lot of people are employed seasonally, so some folks may be about to get laid off or encounter other income challenges….
Tune in next week for tough income!
Please share this with your friends, like it, and ask questions…. if we get a lot of interaction, we will try an interactive program sometime with q&a, etc…

If you messaged us today or asked a question, we will follow up soon- after we finish our coffee, etc…
thanks you for watching, go to www.blackdiamondmortgage.com for more info, of contact us for a one on one

Day 1 Certainty

Day 1 Mortgage Approval Certainty- Better than a Rocket!

The best way to get a purchase offer accepted, is with a convincing loan approval! Some lenders are advertising “rockets” and suggesting that anyone can just push a few buttons to receive a loan approval.   Black Diamond Mortgage Corporation IS partnered with wholesale mortgage lenders that DO offer a digital underwriting approval that eliminates […] Read more

Don’t celebrate before the buzzer.

Have you ever experienced the last 3 minutes of a game? It could be any game. Even a game that doesn’t have time constraints. It could be the last inning, race, 20 meters…. I am referring to the moment when you could either give up, or keep pushing forward……

When we look at these last few weeks of December, we find ourselves filling out goal charts and ideas for the next year. We list out our goals and hopes for the next month, quarter, and year. But what we may forget is that the last few weeks of the year, can actually make or break our future. At Black Diamond Mortgage, we are working to get people into the their homes before the end of the year….but what would happen if we slowed down? Right before the end of the year?

Imagine this: you are playing a basketball game. You are ahead by 10 points with 3 minutes to go. You feel you have already won the game…..but, little do you know, your opponent is still trying to score so they can beat you. But, you slack off, and suddenly, you have 30 seconds left and the team you were playing is now 2 points behind you. Then they make a 3 pointer with 20 seconds left, they are ahead…..

OR Imagine this: You feel you have already won the game, but you aren’t letting up. You have 3 minutes, you are up by 10 but 10 points is still way too close. So you take a deep breath, look at the clock and say “I can do this, it’s only 3 minutes.” You find yourself running harder than you have ever ran. Stealing balls, driving the basket and working to find your open teammates so you can increase the gap. The other team is fumbling and end of putting you on the foul line. You take a breath, and sink more free throws to widen the gap even farther. You are NOT letting up.

The buzzer sounds. Have you won or lost the game?

As in a Mortgage Transaction, things always come up. Especially in the last 3 minutes. It is critical that we don’t ‘let up’ and ‘give in’ when we think it is over. As we end our year, we want to make sure our clients start their New Year off right and it starts with how we, at Black Diamond Mortgage, end our December.

How are you going to end your December? Are you going to back off and let it ride, or are you going to give it all you’ve got to finish tough!

Here are 5 things you can do to make December your best month.
1. Finalize ANY project in process – Don’t let it go to next year….get it done now!

2. Send a Christmas Card – December is a great time to reconnect with clients. Send them a Merry Christmas note!

3. Plan for ‘This Time’ next year. Focus on where you want to be next December. It’s great to plan out the year, but big milestones will greatly impact your overall business goals.

4. Take a breath of fresh air. Don’t forget to take some time for yourself to reflect on the past year and what you did great!….BUT don’t dwell on past mistakes as it won’t do any good if you look at these in detail. Take the position of ‘I will get the job done’, and stick with it.

5. GET IT DONE! Walk out of 2016 feeling like you have already set yourself up for a positive new year. Don’t be frazzled come January 2nd. Feel empowered to keep moving forward in January.

And….

Don’t be caught at the buzzer wishing you would have given it more at the end….

Tips to buying your first home

Tips to Buying your First Home

Buying a home can be either one of the best or worst decisions you ever make and when you decide to give it a try, it is a thought-provoking process. A process that some people may have a hard time understanding. Last year, we bought a home. When you have 2 eager kids, it is […] Read more