Last week I surveyed 100 top realtors in the Charlottesville market and asked them 4 questions regarding what they are looking for in a mortgage lender. The question that received the biggest response was the following, “Does it matter to you if your client uses an out of town lender?” Basically, realtors cannot stand when their clients use out of town lenders. Below are some of their responses:
Yes it matters, it is no good- helps tremendously to have all professionals in the deal know each other.
Yes, I don’t like it.
Yes, local is more efficient.
Hate it when they use out of town lenders. Usually delays occur.
Yes. Too many problems can happen with out of town lenders.
Do not recommend it to buyers and really try to discourage it. I 100% prefer an in town lender. Every situation an out of town or out of state lender has been used, there have been major issues and delays.
Yes- never seems to go as smoothly.
The 2nd question was, “Do you want the mortgage lender to attend the closing?” 42% said no, 38% said doesn’t matter, and 19% said yes. This surprised me a bit. Most mortgage lenders have been taught that it’s beneficial to attend closings but with a lot of the responses it seemed a lot of realtors didn’t really want them there.
Question 3, “Do you want weekly status reports from the lender on your client’s in process mortgage application?” 100% of the realtors wanted some kind of update. 78% wanted weekly updates and 22% just wanted to be update if there was a problem or if something important on the loan happened, like the appraisal coming in or the loan being approved.
The last question was, “What is the most important thing to you in dealing with a lender?” The word that kept coming up over and over was COMMUNICATION! This goes along with why realtors prefer in town lenders. In general, it’s much easier to get in touch with in town lenders. Here are the other frequent responses I received; Honesty, Timeliness, No Surprises, Confidence, Availability.
Thank you to all the realtors for participating!