Compare a SnapShot Mortgage Loan to Quicken’s Rocket Mortgage
If you don't, your next mortgage loan may be a scary ride.
For as simple as it may seem, mortgage lending today remains more complex than ever. With regulatory changes abound at every turn after the mortgage meltdown of 2008, lenders who are still competing in this market are working to simplify the complex process of getting a mortgage for the consumer. But gone are the days of simply going to your bank down the street to get a mortgage loan. Sure, if your credit score is 800, you’ve never made a late payment in your life, have completely documentable income, a solid job, cash assets at that bank, and desire the convenience of dealing with your local bank, and don’t mind the “take it or leave it” then turning to your local bank for your next home loan might be the right choice. However consider the fact that many banks sell off their loan portfolios and your mortgage servicing may get transferred without you having any say in it and at any time. Where is the benefit?
However, if you are recently divorced, have suffered some financial setbacks, have a tax lien, filed bankruptcy, short sold your last house, had a foreclosure in the last few years, changed jobs recently, had a decrease in income, or have credit card debt or student loan debts you’re paying on, or you are self-employed, or have investment property, there are simply far too many better lending options available. No bank, no matter how big, is going to be able to offer the consumer the broad array of loan choices that a reputable mortgage brokerage can.
Enter the age of “FIN TECH” in Mortgage Lending
Today, nearly everything mortgage related is done online. On websites, smart phones, apps, through email, text messages, online chat, scanned documents, electronic signatures, appraisals, loan approvals, Respa packets, closing disclosures and much more. It is truly a different world of lending than even 5 years ago. The technology may have made it simplier, but the process of selecting the right mortgage as it relates to your personal and financial goals is still extremely complex. It goes far beyond the question of “What’s your lowest interest rate?” There is much more to consider and so much is lost in the process of technology. It begs the question; Are we looking for simply convenience in the process or is the goal to make sound financial decisions. Obviously the latter requires a different approach.
The number 1 issue is TRUST
Yes, most banks and brokers mortgage websites are using the latest technologies to safeguard your information. It’s simply not an option. So in a broad sense, the playing field is fairly level there. But let’s face facts. Loan officers are taught to follow systems designed to “sell loans.” Any 24 year old out of college can be trained to plug numbers into a computer, calculate payments, and print out loan offers. It’s definitely not Rocket science. Larger organizations tend to have departments that handle the processing part of the mortgage process and many do an excellent job of it. But there’s a very good chance that your next mortgage will not be originated by the loan officer that helped you last time. Job changes, bank buyouts, and mortgage servicing transfers only add this this challenge. There is very little personal relationship building going on. Have you ever called your bank’s customer service department? How many layers of phone trees did you sit through, only to find out that the person who you were dealing with is no longer there, but we’ll be happy to connect you with the “next available represent” at our call center to talk about your finances. Please press 1 for English.
The role of the "Trusted Advisor"
For your legal issues, you call an Attorney. For your financial issues, you call an Accountant. You are expecting knowledgeable and professional advice to guide you through you issue. There is a good reason these professionals charge what they charge. A thousand dollar legal bill is small potatoes compared to being on the wrong end of a messy lawsuit. Your accountants fee’s become a bargain when you start adding up IRS penalties, bounced check fees, and a higher tax bill. These professionals’ bills are probably some of the best money you will ever spend relative to the value received from their services. No one ever says, “I need a shady lawyer.” You are expecting professionalism and rightfully so. Although the licensed mortgage professional is not an attorney or accountant, they deal with many of the same issues on a regular basis to help clients figure out a strategy to accomplish their goals.
So how does the Trusted Advisor play into home finance and mortgage lending
Simply put, in big business, it’s near the bottom of the list. In today’s world, it’s call a company or go on their website, get a quote, find out their rate, and “how fast can I close my loan?” While clearly these issues are important, they are far from the most important. As mentioned, both mortgage lending and real estate are extremely complex fields, all by themselves, let alone the logical connection from one to the other. Very few people can be a bonafide expert in all of it. That experience in the marketplace takes decades to get. Most younger loan officers at big companies are far too young to possess the life experience required to guide their client to the best overall decision for their unique situation. However if you are fortunate enough to discover a company who has that rare quality of both experience, expertise, AND who cares enough to do it in a personal way. There can be a tremendous value there.
Small lenders vs the big box brands
Most smaller companies place an extreme priority on satisfying their clients because they depend upon that repeat business and referrals. We are not talking about companies that have 500 million dollar advertising budgets to “keep the wheel turning” and scripted sales pitches from call centers. We’re talking about genuine “one on one” personal service. Having a question and reaching out to your mortgage professional at 9pm and they actually pick up their phone, or text you back to address your concern. Or calling your trusted mortgage or real estate professional to just “run some scenario’s” to see what it looks like on paper even though we are probably not ready for a year yet. Or “hey I know this is short notice, but can we see that property tomorrow at noon on my lunch break?”
A SnapShot to sum it all up
Both SnapShot Mortgage by www.NetEquityLoans.com and Rocket Mortgage by Quicken Loans address the “need for speed” that today’s home buyers and refinancers expect. Both offer competitive rates, a multitude of loan programs, convenience in their process, and reliability. The main choice comes down to what you are expecting from your experience. If you are looking for a somewhat impersonal Quick-Bam-Done approach then riding the rocket may be a good choice. However if you have questions and desire a much more personalized approach to your mortgage and real estate needs combined with the speed and convenience of a simple SnapShot, you may be pleasantly surprised by the personal service you receive with a SnapShot Mortgage by Net Equity Financial for no additional cost. You may even find your next trusted advisor for life.