My Most “Feel Good” Loans of 2016, And The Lessons They Reinforced
By Doug Goelz, Mortgage Services
I feel good whenever a loan closes. It feels good to help my clients attain their goals of buying a property, or changing their financing in a way they want and I make money at the same time. In looking back over all the loans I closed this year, there were a few that felt especially good, because we were able to get over a significant hurdle and meet the client’s objective. Here are few of my “feel good” loans for 2016, and the lessons that were reinforced for me:
Staying in Touch
For almost 2 years, I had been discussing a refinance for a couple for whom I did the financing for the purchase of their home. They had an FHA loan and were paying over $800 a month in mortgage insurance. We would discuss refinancing every 6 months or so, and then their children and jobs would take precedence over a new loan. I would be in touch every few months to see if we could get the refinance done. Finally, we were able to complete the paperwork and the clients ended up saving almost $800 per month. Lesson reinforced: Perseverance pays off.
Keeping the Client’s Interest at the Forefront
I first dealt with a client over 10 years ago when his son was in elementary school. We have done many deals together over the years, but I haven’t done every deal the client has had since we have known each other. Nevertheless, I have provided guidance and advice whenever there was another financing option on the table, even when I wasn’t the one doing the deal. The client’s son recently graduated from high school. Dad, a kind and generous man, decided to buy a property for his son to live in while going to college. He bought a cool condo, and I financed the deal. Undoubtedly the client’s son’s place is better than any dorm on earth. Lesson reinforced: Always keep the client’s interest at the forefront. Even if the client works with someone else on a particular deal, clients appreciate honest answers and good guidance. If I tell a client someone else has a better deal, I’ll get the phone call on the next opportunity.
Creating a Comprehensive Financing Plan
A family owns several properties, and had run into financial difficulties a few years ago. They were doing better financially recently, and wanted to refinance to improve their cash flow. Reduced current incomes made it impossible for them to refinance when they first contacted me, but we set out a plan that included tax planning, paying off debt, and including their son on the new loan. Over a year after we first spoke, after they had taken the steps we planned out together, they were able to get a new loan that saved them a significant amount each month. Lesson reinforced: Planning pays off.
Exploring All the Options
A client referred to me had been told by her current bank that she wasn’t eligible for refinance because of a bankruptcy in her past. She wanted to retire soon, and her retirement planning included lowering her monthly housing payment. Her income, assets, and credit score all met standard guidelines, but recent bankruptcies are deal-killers for standard loans. With some research, I found a program that lowered her payments, reduced her interest rate, and did not treat the bankruptcy as a deal-killer. The client now is in a much better position to retire. Her current bank could have offered the same program, but they didn’t do enough research on the client’s options. Lesson Reinforced: Explore every option. If a client has the required income and assets, there should be a way of getting a loan.
Questions? Want to be a “feel good” loan for 2017? Get in touch with me at 415-730-4665 or email@example.com