I received an email a few days ago from a prospective customer. I say prospective loosely because I'm quite sure he won't become one.
He completemented me on my fine job of marketing to him as a lead-in to what he really wanted. He said, "how can you get me the most money out of my home, compared to another lender."
I replied that I can't. All reverse mortgage lenders use the same formula to arrive at how much money can be squeezed out of the loan.
Once we covered that, he declared he wanted a first-rate appraiser that would work really hard. This is a way of covertly saying he wanted one that would report in a biased way.
The point being for him, a reverse mortgage lender will lend him a greater amount of money if his value comes in higher.
With home values reducing he is in the same shaky boat as many senior mortgage holders. They want to use the reverse loan to rid themselves of the burden of the monthly payment.
Yet the lender can't at all times loan an adequate amount to fulfill this wish if the appraisal returns too low. So the poor borrower has to maintain payment on the regular loan until his home value increases enough to give it another shot.
Until recently appraisers were able to take certain liberties on their report, but now they are having a rough time.
An appraiser who comes across this article might be bothered by what I said and even dispute it, but its common knowledge that number adjusting was taking place.
Now the finger is pointing at everyone in the real estate industry for causing the big mortgage mess, even appraisers. They are being watched more closely than they were before.
Appraisers are getting checked up on more than ever before, and are in jeopardy of having their license revoked if they do things unscrupulously.
So, that is what I told this guy. I haven't heard from him since. I told him other companies would tell him how their appraiser will definitely get him the greatest value.
They all say that. In the end only one is right. I'd prefer to give an honest answer and lose the business. - 15224
He completemented me on my fine job of marketing to him as a lead-in to what he really wanted. He said, "how can you get me the most money out of my home, compared to another lender."
I replied that I can't. All reverse mortgage lenders use the same formula to arrive at how much money can be squeezed out of the loan.
Once we covered that, he declared he wanted a first-rate appraiser that would work really hard. This is a way of covertly saying he wanted one that would report in a biased way.
The point being for him, a reverse mortgage lender will lend him a greater amount of money if his value comes in higher.
With home values reducing he is in the same shaky boat as many senior mortgage holders. They want to use the reverse loan to rid themselves of the burden of the monthly payment.
Yet the lender can't at all times loan an adequate amount to fulfill this wish if the appraisal returns too low. So the poor borrower has to maintain payment on the regular loan until his home value increases enough to give it another shot.
Until recently appraisers were able to take certain liberties on their report, but now they are having a rough time.
An appraiser who comes across this article might be bothered by what I said and even dispute it, but its common knowledge that number adjusting was taking place.
Now the finger is pointing at everyone in the real estate industry for causing the big mortgage mess, even appraisers. They are being watched more closely than they were before.
Appraisers are getting checked up on more than ever before, and are in jeopardy of having their license revoked if they do things unscrupulously.
So, that is what I told this guy. I haven't heard from him since. I told him other companies would tell him how their appraiser will definitely get him the greatest value.
They all say that. In the end only one is right. I'd prefer to give an honest answer and lose the business. - 15224
