My seven-year tenure in the tumultuous mortgage business was not only a learning curve but also invigorating and sometimes amusing. Despite its high remuneration, it often demands dealing with disgruntled borrowers and handling the intense emotions of those who are unhappy, furious, or bizarrely unreasonable.
Buying a home accession significant emotions even if it should not, and it appears many vent their anger when they fail to secure a mortgage. I’ve learned that numerous people believe that they deserve a mortgage even if their credit rating is poor. These realities make the industry quite challenging as you occasionally face frustrated borrowers, realtors, and sellers.
Both sellers and buyers want successful transactions, while the realtors wish for their commission. With these diverse interests, surely, what could go wrong?
Having been in the industry for long, I have seen it all, including the frustration of being unable to finalize loans and the shock when a precarious loan is surprisingly approved. The sector experiences range from good to bad, to disconcerting, to absolutely insane.
I have encountered peculiar occurrences and dealt with a fair share of irksome individuals. If you would love an insider’s perspective on the home buying process, then here are my admissions as a former mortgage broker.
Some people are genuinely not ready to buy a house. Numerous times, I pulled up new borrower’s credit to find multiple credit cards, numerous collection accounts, a couple of car loans, and an overwhelming amount of student loans. In several instances, I even thought they are a foreclosure in the making; hence they have no business buying a house.
When the underwriter disapproved of the loan, the broker, of course, had the task of delivering the disappointing news to the borrower. It was difficult not to empathize with these borrowers, although most of them needed a good credit counselor to guide them.
Sometimes borrowers could be unusually impolite and eerie. I once had a borrower who could not comprehend a rejection. They persistently called and texted, even during my friend’s funeral. In another unpleasant incident, I discovered inappropriate charges on a borrower’s bank statements.
First-time homebuyers are the best clients because unlike seasoned home buyers who are still stuck in the boom times before the housing crash, they comply promptly with document requests and close the deal quickly. On the other hand, seasoned customers would complain when asked to provide proof of their financial standing.
Mortgage brokers are not villains. After the housing crash, they unfairly bore the brunt of government crackdowns and over-regulation. The majority are good brokers and not unscrupulous dealers.
Mortgage brokers earn their money through hard work. Primarily working on commissions, they have a vested interest in ensuring your loan goes through. If they do not close your loan, they risk going without pay for that period.
However, not all experiences in the industry have been awful. I’ve had rewarding experiences, such as heartfelt thank-you notes from clients or witnessing the joy of people getting keys to their first house.
While the mortgage industry was a rewarding career path, I gleaned valuable lessons about people’s peculiar monetary habits. Yet, since leaving the industry, I haven’t looked back. However, what’s your take? Were these experiences enlightening? Do you have a better understanding of the workings of the mortgage process?
