The Mortgage Planner is the Captain of Your Team
When contemplating buying a new home, most shoppers think about the financing as an afterthought; something to be considered after they find a house. This might have worked years ago when everyone qualified for a mortgage. But it was never a good idea.
Since 2008, I’ve heard countless stories of home buyers strutting around with claims such as:
- “I have great credit. I won’t have any problems getting a mortgage.”
- “I’ve been with my bank for years. I’m sure they’ll give me a mortgage.”
- “I plan to put a huge down payment on a house. Banks will be falling over themselves to lend me money.”
Then months after applying, they’re shocked and bewildered that their mortgage was denied. These problems are almost always avoidable.
The days of easy credit are long gone. The pendulum has swung far to the other extreme and even good borrowers are having difficulties obtaining mortgages. But despite the doom & gloom and the horrible experiences heard from people going to banks, you CAN still get a mortgage.
However, if you want your home-buying experience to go smoothly, you need to change your mindset and prepare early.
Before you go out looking at open houses, you need to get prequalified. But don’t go asking some bank salesman to do the job! A five minute conversation and a quick credit report just won’t cut it. You need someone who’s going to delve much deeper. You need to work with a qualified and competent Mortgage Planner.
When people fail to work with a Mortgage Planner, the results are often much more costly than they can anticipate. There have been countless examples of borrowers who, over time, lost tens of thousands of dollars in investment opportunities, lost tax deductions, and higher interest charges, with the cumulative effects resulting in a lifestyle goal never attained. And it all could have been avoided with one preemptive consultation.
The first superstar to place on your team is a competent and qualified Mortgage Planner. But one superstar can’t carry your team on his own. There are other professionals we need to add to the team as well. Next week we’ll discuss the next position to be filled.
Warren Goldberg is a Mortgage Planner and published author. His interviews include Blog–Talk Radio, Newsday, and the Long Island Herald. His newsletter is read by almost two thousand subscribers.
Since 1992, Warren Goldberg has helped thousands of clients own their homes, refinance their mortgages, restructure their debts, and invest in real estate. Warren is known for his wide knowledge of mortgage products and wealth-creation strategies. (To learn more or subscribe to his newsletter, visit www.WarrenGoldberg.com.)
