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MarieS
334 Posts |
 Posted - 08/27/2008 : 10:48:19 AM
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| Maybe I'm just paranoid but I'm worried that the broker I work for could be having financial trouble. They tried to get set up with a lender a few months ago and were turned down. Now they say they are not getting set up with any other lenders right now. I am not sure what to make of this. What are some of the reasons why a broker would not get set up with other lenders especially since we have lost so many of them due to the market conditions. Any imput? |
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habsfan
578 Posts |
Posted - 08/27/2008 : 11:02:10 AM
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many wholesalers just aren't signing up new shops now.
of course if your shop has MARI hits, pending lawsuits, etc., then its not likely it'll get approved with any new wholesalers.
there is not one correct answer, if you have a good relationship with your broker, just ask him/her straight out. |
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MarieS
334 Posts |
Posted - 08/27/2008 : 11:02:26 AM
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| Well one of the problems is that I work from home so I am not seeing first hand what issues there may be. We are just so limited on lenders that I am not sure if I should make a move. |
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assassin17
4155 Posts |
Posted - 08/27/2008 : 11:08:18 AM
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| Everyone is limited on lenders. How many do you really need? |
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Managing Prime
2801 Posts |
Posted - 08/27/2008 : 11:08:56 AM
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Could be in trouble, but there are just to many variables to say one way or the other. Due to current market conditions, odds are that like many other brokers they are in trouble.
Talk with someone in a position to answer your questions honestly or just make the move. |
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financeone
1635 Posts |
Posted - 08/27/2008 : 11:10:04 AM
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| Gotta agree. Do you really need more than 5-7? |
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katbunk
2132 Posts |
Posted - 08/27/2008 : 11:10:12 AM
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| There's a few reasons a broker may be turned down. MARI reports, bad personal credit, etc, defaults and forclosure info from other lenders. I can't understand why a broker would not want to get set up with new lenders though. We have not had any issues getting approved with new lenders, but we've not had any issues either. You need to ask your broker what's up. He may have a valid reason? |
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MarieS
334 Posts |
Posted - 08/27/2008 : 11:13:33 AM
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quote:
Originally posted by financeone
Gotta agree. Do you really need more than 5-7?
Well I need ING for Jumbo. We couldnt get set up with US bank. I also need a bank statement program that a lender offers that we are not set up with. Thats 2 deals that I can get done if we are set up. I hate to turn them down knowing that if I just worked somewhere else, that I could make the deals. |
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TheBigGuy
392 Posts |
Posted - 08/27/2008 : 11:15:43 AM
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quote:
Originally posted by katbunk
I can't understand why a broker would not want to get set up with new lenders though.
In this current market situation, some brokers, like myself are limiting the amouont of new lenders we sign up with. There is not a lot of volume to go around and to maintain any type of customer service support we need as many loans to as few lenders as possible.
How could anyone need much more than 3 or 4 Prime lenders anyway? |
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katbunk
2132 Posts |
Posted - 08/27/2008 : 11:23:59 AM
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quote:
Originally posted by TheBigGuy
quote:
Originally posted by katbunk
I can't understand why a broker would not want to get set up with new lenders though.
In this current market situation, some brokers, like myself are limiting the amouont of new lenders we sign up with. There is not a lot of volume to go around and to maintain any type of customer service support we need as many loans to as few lenders as possible.
How could anyone need much more than 3 or 4 Prime lenders anyway?
Because they may be gone tomorrow. Sad, but true. Always good to have some back up. |
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TheBigGuy
392 Posts |
Posted - 08/27/2008 : 11:25:39 AM
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quote:
Originally posted by katbunk
quote:
Originally posted by TheBigGuy
quote:
Originally posted by katbunk
I can't understand why a broker would not want to get set up with new lenders though.
In this current market situation, some brokers, like myself are limiting the amouont of new lenders we sign up with. There is not a lot of volume to go around and to maintain any type of customer service support we need as many loans to as few lenders as possible.
How could anyone need much more than 3 or 4 Prime lenders anyway?
Because they may be gone tomorrow. Sad, but true. Always good to have some back up.
Thats why you have 3 or 4. We mainly use 1 or 2. Either way different strokes for different folks |
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gsgroupinc
2032 Posts |
Posted - 08/27/2008 : 11:32:12 AM
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| We have mulitable lenders and I continue to sign up with new lenders if they are offering something others may not (sub 580). Also I have somelneders who I just use for Conventional, others for FHA 203B and others for FHA 203K. I continue to stay on top of who is doing what and will add as needed. |
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katbunk
2132 Posts |
Posted - 08/27/2008 : 11:35:12 AM
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quote:
Originally posted by gsgroupinc
We have mulitable lenders and I continue to sign up with new lenders if they are offering something others may not (sub 580). Also I have somelneders who I just use for Conventional, others for FHA 203B and others for FHA 203K. I continue to stay on top of who is doing what and will add as needed.
Exactly. |
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ownerop
389 Posts |
Posted - 08/27/2008 : 11:41:40 AM
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| It's hard to day, but me as a company owner and broker of record, I first need to see the benefit of getting approved with another lender; ie what do they offer that nobody else offers? Is pricing so much better, is service a lot better, I personally prefer to give a lot of business to a few companies than to spread it thinly to many companies and never really establish a good relationship with any of them. Another reason I don't like to just get approved with anyone is that they all pull credit reports and I already get hammered with inquiries every year from our existing banks, if they don't pull credit I am more inclined to send a broker package because it doesn't affect my credit in any way. |
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ritabradley01
3158 Posts |
Posted - 08/27/2008 : 11:47:14 AM
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| That makes a lot of sense. Volume=good relationship with lender |
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katbunk
2132 Posts |
Posted - 08/27/2008 : 11:51:38 AM
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| yes, we give the majority of our loans to 2-3. But it certainly doesn't hurt to be approved with others. Especially those with niches. It does hurt to have your credit ran, but some do not run personal credi or they allow you to supply your own credit report if it's not dated. |
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lucky1s
3614 Posts |
Posted - 08/27/2008 : 11:54:24 AM
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| FWIW ING is not taking any new brokers. |
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brandie
3260 Posts |
Posted - 08/27/2008 : 11:58:23 AM
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| Some lenders are not signing up new broker shops if they have not been in business for x number of years. |
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ppete68
1 Posts |
Posted - 08/27/2008 : 11:59:48 AM
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Your not paranoid, your company is going under... lenders want to do business and there is something there that is wrong and that is why they are getting denied...
quote:
Originally posted by MarieS
Maybe I'm just paranoid but I'm worried that the broker I work for could be having financial trouble. They tried to get set up with a lender a few months ago and were turned down. Now they say they are not getting set up with any other lenders right now. I am not sure what to make of this. What are some of the reasons why a broker would not get set up with other lenders especially since we have lost so many of them due to the market conditions. Any imput?
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808
2509 Posts |
Posted - 08/27/2008 : 12:09:45 PM
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quote:
Originally posted by MarieS
quote:
Originally posted by financeone
Gotta agree. Do you really need more than 5-7?
Well I need ING for Jumbo. We couldnt get set up with US bank. I also need a bank statement program that a lender offers that we are not set up with. Thats 2 deals that I can get done if we are set up. I hate to turn them down knowing that if I just worked somewhere else, that I could make the deals.
ING not only isn't taking new brokers, they just recently dropped us because of our lack of Jumbo loans submitted to them, so I wouldn't make a financial judgement call on your broker based on ING.
I don't run in the Jumbo circles so I couldn't tell you where to go (98% of my loans are conforming), but I can tell you that TBW, Wells Fargo, Amtrust, Plaza and lately Citi & Chase consistently have the best 30yr pricing for conv comforming. Look into AmTrust for the Bank Stmts although there a time consuming pain in the a55 to get approved w also. |
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assassin17
4155 Posts |
Posted - 08/27/2008 : 12:23:50 PM
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Right now if you don't send any deals to a lender you are going to get dropped like a hot brick. Signing up with 200 just to have a big backup list like the old subprime days is worthless unless you have major volume to keep everyone happy.
Work on deals that you can do. You will have this problem anywhere unless you go retail. |
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Xanthan Gum
909 Posts |
Posted - 08/27/2008 : 1:17:29 PM
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quote:
Originally posted by MarieS
Maybe I'm just paranoid but I'm worried that the broker I work for could be having financial trouble. They tried to get set up with a lender a few months ago and were turned down. Now they say they are not getting set up with any other lenders right now. I am not sure what to make of this. What are some of the reasons why a broker would not get set up with other lenders especially since we have lost so many of them due to the market conditions. Any imput?
What company are you with now Marie? |
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benjamin
2196 Posts |
Posted - 08/27/2008 : 1:39:03 PM
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Funny, in the last two weeks, corporate has come up with 4 new compliance issues.
Got a feeling things are about to change. |
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isitfree
763 Posts |
Posted - 08/27/2008 : 1:41:10 PM
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quote:
Originally posted by MarieS
Maybe I'm just paranoid but I'm worried that the broker I work for could be having financial trouble. They tried to get set up with a lender a few months ago and were turned down. Now they say they are not getting set up with any other lenders right now. I am not sure what to make of this. What are some of the reasons why a broker would not get set up with other lenders especially since we have lost so many of them due to the market conditions. Any imput?
If you or your processor has access to the FHA Connection then log in and check Neighborhood Watch for defaults. |
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tgengler
8 Posts |
Posted - 08/27/2008 : 2:04:19 PM
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I have worked for a few corr lenders in WI, IN, and out west that have gone down in the last couple of years.
In the last 6-12 months several have tightened the requirements for Brokers. Previously the broker completed an app and they were approved the same day. Now the lenders want to see that the broker has been in business a couple of years and has some money invested in the company. Many brokers keep as little cash as possible in there business.
ALWAYS keep other options open and ready to go since these small broker shops are vanishing as fast as they appeared. |
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jstar
713 Posts |
Posted - 08/27/2008 : 2:09:21 PM
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quote:
Originally posted by lucky1s
FWIW ING is not taking any new brokers.
We just got approved with ING. I know they were not taking any apps a while back. |
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1003s.com
3345 Posts |
Posted - 08/27/2008 : 11:34:29 PM
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Marie,
If your broker has FHA, a fair split, and good service.
I think it would be a mistake to leave based on, "jumping to
conclusions". If however, you are not happy with some other
issues, than it makes for a good reason, to explore other options.
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Carpet Muncher
1385 Posts |
Posted - 08/28/2008 : 11:35:52 AM
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| The best you can do is have a back up place to go. Any lender, broker or branch can fold at anytime right now. |
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MarieS
334 Posts |
Posted - 08/28/2008 : 1:02:06 PM
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Thanks for all your insight. I just got a response from corporate about why we are not signing up any more lenders. I was told " We have been taken over by a capital investment firm that owns lots of condos that they need loans for".
This doesn't sound right. I could see capital investment firm by itself but needs loans for condos? now I'm even more confused by this statement. |
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katbunk
2132 Posts |
Posted - 08/28/2008 : 1:54:28 PM
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| sounds like they have their own lenders or money and have a "not compete" policy. |
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jeff4567
1538 Posts |
Posted - 08/28/2008 : 1:58:02 PM
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quote:
Originally posted by MarieS
Thanks for all your insight. I just got a response from corporate about why we are not signing up any more lenders. I was told " We have been taken over by a capital investment firm that owns lots of condos that they need loans for".
This doesn't sound right. I could see capital investment firm by itself but needs loans for condos? now I'm even more confused by this statement.
Marie,
I see you are in the 'burgh! I think you and I may be the only ones on this site with a little steel in our blood. What shop are you with? Email me off site if you wish.
Jeff |
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1003s.com
3345 Posts |
Posted - 08/28/2008 : 2:03:26 PM
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Marie,
explantions that make no sense, are never a good sign... |
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MarieS
334 Posts |
Posted - 08/29/2008 : 11:26:56 AM
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jeff,
just emailed you. |
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jeff4567
1538 Posts |
Posted - 08/29/2008 : 11:34:27 AM
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quote:
Originally posted by MarieS
jeff,
just emailed you.
Marie,
I didn't see anything. |
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MarieS
334 Posts |
Posted - 08/29/2008 : 11:39:25 AM
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Jeff,
Sent it through BO link |
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D41
69 Posts |
Posted - 09/09/2008 : 4:42:59 PM
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If you are looking for a place to hang your hat. We have a few offices out your way.
Or you could entertain the idea of starting your own. maybe some of the people that work at the same place would be willing to come on board.
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