Referrals
The act of officially sending someone to a qualified professional for further assistance.
What is a referral?
A mortgage that meets the dollar amount limits set by the Federal Housing Finance Agency and meets Fannie Mae or Freddie Mac guidelines
What is a conforming loan?
A lower interest rate generally leads to this result for a borrower.
What is a lower monthly payment?
A borrower is looking to get a new mortgage to lower the interest rate.
What is a Rate and Term Refinance?
This number is a key factor lenders use to evaluate a borrower’s creditworthiness.
What is a credit score?
$10 for Centier refi, $25 for non-Centier refi, $50 for a 1st mortgage.
What is the payout for a closed referral?
An insurance program implemented by the government to encourage banks to make home loans after the depression. Borrowers are only required to make a 3.5% down payment.
What is FHA?
This is the type of interest rate that remains the same throughout the term of the loan.
What is a fixed interest rate?
A borrower is looking to get a new mortgage to get additional funds from the equity in their home.
What is Cash Out Refinance?
This term describes the amount of money a borrower must pay upfront when purchasing a home, typically ranging from 3% to 20% of the home’s purchase price.
What is a down payment?
Talking to a client about life changing events such as getting married, having a baby, or moving.
What is uncovering client needs?
A mortgage program established to help service men and women obtain home financing. Offers 100% financing without monthly mortgage insurance.
What is VA loan?
The percentage rate charged by a lender for borrowing money, typically expressed annually.
What is the Annual Percentage Rate?
A borrower wants to get equity from their home but they do not want to refinance their existing mortgage.
What is a second mortgage or home equity loan?
This deposit is paid to the seller of a property to show interest in purchasing the property.
What is an Earnest Money Deposit?
Asking a client, "Have you done anything exciting lately?" and then guiding the conversation toward questions like "Do you own your home or rent?" is an example of this.
What is a conversation starter?
When the economy is strong, this typically happens to interest rates.
What is an increase in interest rates?
A borrower is looking to combine their first and second mortgage.
What is a Cash Out refinance?
Often referred to as "PITI," this acronym represents the four components that make up a mortgage payment.
What is principal, interest, taxes, and insurance?
Strengthening trust and understanding clients' needs in order to provide valuable mortgage referrals is part of this essential practice.
What is building meaningful relationships?
A loan for financing the cost of building a home. The lender disburses funds to the builder at periodic intervals as work progresses
What is a construction loan?
Mortgage interest rates are tied to this financial indicator.
What is the 10-year Treasury bond?
This type of mortgage is used specifically for purchasing a home in need of significant repairs or renovations, often requiring a renovation plan.
What is a renovation mortgage?
The loan officer has done at least a basic review of a borrowers creditworthiness to determine if they are likely to qualify for a loan.
What is a prequalification?