I see myself as the pilot of your plane.
- During an airline flight, turbulence can sometimes occur.
- My job as your “mortgage pilot” is to guide you through any turbulence that may arise during your mortgage process.
Possible Types of Turbulence We Could Encounter
The Buyer/Borrower:
1. Does not tell the truth on the loan application.
2. Submits incorrect information to the lender.
3. Has recent late payments on credit report.
4. Found out about additional debt after loan application.
5. Borrower loses job.
6. Co-borrower loses job.
7. Income verification lower than what was stated on loan application.
8. Overtime income not allowed by underwriter for qualifying.
9. Applicant makes one or more large purchases on credit before closing.
10. Illness, injury, divorce, or other financial setback during escrow.
11. Lacks motivation.
12. Gift donor changes their mind.
13. Cannot locate divorce decree.
14. Cannot locate petition or discharge of bankruptcy.
15. Cannot locate tax returns.
16. Cannot locate bank statements.
17. Difficulty in obtaining verification of rent.
18. Interest rate increases and borrower no longer qualifies.
19. Investor approves a different loan program than the one initially applied for.
20. Child support not disclosed on the application.
21. Borrower is a foreign national.
22. Bankruptcy within the last two years.
23. New mortgage payment is double the previous housing payment.
24. Borrower/co-borrower does not have steady 2-year employment history.
25. Borrower brings in handwritten pay stubs.
26. Borrower switches to job requiring probation period before closing.
27. Borrower switches to job from salary to 100% commission income.
28. Borrower/co-borrower/seller dies.
29. Family members or friends do not like the home the buyer chooses.
30. Buyer is too picky about property in price range they can afford.
31. Buyer feels the house is misrepresented.
32. Veterans DD214 form not available.
33. Buyer has spent money needed for down payment and closing costs and comes up short at closing.
34. Buyer does not properly “paper trail” additional money that comes from gifts, loans, etc.
35. Does not bring cashier’s check to title company for closing costs and down payment.
The Seller:
36. Loses motivation to sell.
37. Cannot find a suitable replacement property.
38. Will not allow appraiser inside home.
39. Will not allow inspectors inside home in a timely manner.
40. Removes property from the premises that the buyer thought was included.
41. Is unable to clear up liens against their property – short on cash to close.
42. Did not own 100% of property as previously disclosed.
43. Thought getting partner’s signatures was “no problem,” but it was.
44. Leaves town without giving anyone Power of Attorney.
45. Delays the projected move-out date.
46. Did not complete the repairs agreed to in contract.
47. Seller’s home goes into foreclosure during escrow.
48. Misrepresents information about home and neighborhood to the buyer.
49. Does not disclose all hidden or unknown defects in the home, and they are subsequently discovered.
50. Builder miscalculates completion date of seller’s new home.
51. Builder has too many cost overruns.
52. Final inspection on new home does not pass.
53. Seller does not appear for closing and won’t sign papers.
The Realtor:
54. Has no client control over buyers or sellers.
55. Delays access to property for inspection and appraisals.
56. Unfamiliar with their client’s financial position – do they have enough
equity to sell, etc.
57. Does not get completed paperwork to the lender in time.
58. Inexperienced in this type of property transaction.
59. Takes unexpected time off during transaction and cannot be reached.
60. Jerks around other parties to the transaction – has huge ego.
61. Does not do sufficient homework on their clients or the property and wastes everyone’s time.
The Property:
62. County will not approve septic system or well.
63. Termite report reveals substantial damage and seller is not willing to fix or repair.
64. Home was misrepresented as to size and condition.
65. Home is destroyed prior to closing.
66. Home is not structurally sound.
67. Home is uninsurable or unable to meet homeowners’ insurance standards.
68. Property incorrectly zoned.
69. Portion of home sits on neighbor’s property.
70. Unique home, and comparable properties for appraisal are difficult to find.
The Escrow/Title Company:
71. Fails to notify lender/agents of unsigned or unreturned documents.
72. Fails to obtain information from beneficiaries, lien holders, insurance companies, or lenders in a timely manner.
73. Lets principals leave town without getting all necessary signatures.
74. Loses or incorrectly prepares paperwork.
75. Does not pass on valuable information quickly enough.
76. Does not coordinate well, in order that many items can be done simultaneously.
77. Is not flexible, and allows minor problems to flare up into big problems.
78. Does not find liens or title problems until the last minute.
The Appraiser:
79. Is not local and misunderstands the market.
80. Is too busy to complete the appraisal on schedule.
81. No comparable sales are available.
82. Is not on the lender’s “approved list.”
83. Makes important mistakes on appraisal and brings in a value that is too low.
84. Lender requires a second or “review” appraisal.
The Inspector/s:
85. Pest inspector is too busy to schedule inspection when needed.
86. Pest inspector too picky about condition of property, hoping to create work for themselves.
87. Home inspector not available when needed.
88. Inspection reports alarm the buyer and the sale is cancelled.
If you want world-class service and a smooth mortgage transaction, choose a pilot with the necessary expertise to bring you in for a safe landing…
FIRST FIDELITY FINANCIAL SERVICES™
Your Mortgage Consultants For Life “Guiding you through a world of financial options”
