How loan officers TRICK YOU (and how to prevent it) 

Damn boy that title scandalous.

Thank you for ALL your help and transparency! You are a blessing to us who are wanting to take that leap of faith. Keep sharing! I’m a fan /supporter for life.

bro, automatic subscription - Im grateful for people like you. I appreciate you - definitely using these tips

I'm very transparent with my clients, I think the more we educated them on what’s included and how it works the better we are setting them up for success with their loan.

Outstanding work, sir! Well done.

My loan officer has the 11k closing costs itemized which was very helpful in understanding what is being charged and why. Very professional and transparent and fast paced! I went with Pacres Mortgage. I’ll be in this house in less than a months time from looking at homes to placing an offer to getting a counter offer to settling on 40k under what they were originally asking and inspections appraisal etc! Less than a month! I thought this was going to take forever!

Thanks a huge million for sharing this..I haven't owned a home since 05' and lost it due to mortgage fraud. This time around I want to avoid any and all problems through my research. You're doing the right thing by sharing this info. You gained a new subscriber..!

I always break down all costs to my clients before moving forward. It is easier that way. I totally agree with you

Bait and switch! So many of them do it. I walked away from a deal at the closing table with Veteran’s United for hidden costs.

This just happened to me and I had no idea what happened- so frustrating! Thank you for explaining this.

You. Are. Damn. Awesome! Thank you!

Helpful video! I am following your channel 👍🏻

Another great one. Intersting that you are in Dayton Ohio because I was born there and lived in Huber Heights OH for 22 years. Thanks for posting.

You always share helpful information. I've shared your videos with clients because you tell the truth and you educate. Thank you!

Great Great video. Thank you so much.

another great video. really good info

In the process of a new build in PA. Loan process is a nightmare. Difficult to obtain 3 loan estimates. In fact while watching your video, one potential lender (you alluded to them ) seems a little sketchy to me after doing some on line research. I love this channel. Do you do loans in PA?

That is such a display of good will... promise you man, this will build such credibility...that you can't buy with money. But with honesty and once you have it.. No marketing budget will beat that... Gracias hermano!!!

Thank you for this!

Mesmerized by your note overlay. How are you recording (i.e. what software) and how do you get that transparent overlay? BTW great video too!

This channel is the best!

Great video! As a loan officer at my company we strive to be transparent as possible with our clients and disclose all those third party fees!

Your video was so helpful thanks 🙏

Great video! First time buyer here. Condo shopping. It's been a little bit stressful but I am trying to roll with it and be patient (easier said than done) Are there any closing cost fees you would say are rather easy to get waived?

Excellent video!

You explain information with ease and simplify things I love this I'm a new subscriber ❤️❤️❤️

Great explanation … thank you

You are the kind of person that is one who cares I'm trying right now to purchase a house

The cheapest loan officer isn’t always the best! If you have an LO giving FULL transparency on what they cost and what their rates are, that lender will go much farther than an LO looking to make a quick buck. Cheapest doesn’t always mean best or honest. I would rather work with a lender with a 3.65% and know what I’m buying versus a 3.25% and be taken advantage of.

I feel empowered so when we start , we will know things they think we don’t.

MY first loan officer failed to tell me about the interest rate buy down. Didn't know about it until a different lender explained it to me. Kind of called the 1st lender out on it and they offered a match with the second lender. I told the first lender goodbye and went with the lender that was more transparent.

Great vid, thanks! :}

Great info

Thanks for the info! The information was really helpful. Quick question for you. If a lender doesn't list an underwriting fee in Section A, are they allowed to add it later after a loan package estimate was already provided?

thank you! Hugssss 🤗

Love this video🏠❤️Do you o loans in Fl?

I watched this video with my loan estimate documents in hand. I think I'm okay👍 Thank you!

We just left a lender that was charging us higher fees and left out the other closing cost fees then proceeded to bully us because we went with a lender that was better and more upfront with their fees in section A. They tried to win us back by saying they can remove third party fees from the closing coat which I know they can’t do that.

Great video

Not only did my lender get bought out just before close, not all costs were disclosed and my payment went up $300 from what I was told!

Thank you!!!

Damn that's good advice 👌

Great timing on this video! I'm going through this now. Thanks for the info!

✍️✍️ literally taking notes. Now I just need a house keep getting out bid

I am closing on my first home in five days, and it has been a whirlwind the past three weeks! I have been planning on using down payment, assistance grants, however, the amount was variable so it was just solidified today… With total closing costs $20,000, taking away $8000 in seller credits, $8000 in down payment assistance, and $1300 in lender credit I will be buying my home for less than 3 grand. I am a little flabbergasted right now, but cannot wait to sign the papers and get my keys on Tuesday!

1 thing my loan officer did, besides giving estimates on 3rd party costs, was that I had to take an online class they require that explains all the costs on the loan estimate (among other things). Even though I did my research as well as took the course, I did something you instruct. Shop around, get all the information, and to get the full picture, STAY IN BUDGET!!!!!!

Going thru this RIGHT NOW!!!

I wish you were in Florida!

The next biggest trick I deal with - discount points! As a lender I notice way to many borrowers not understanding this and come to me saying they have a better rate, send me the loan estimate only for me to point out the quote is showing them paying am additional amount of money to buy the rate down to the quoted rate

Omg buying a house is a real nightmare. , no way

We’re closing soon! Appraisal came in $10K over offer, didn’t have to sell my blood or soul. Ive been watching Javier and you for two years. Thanks for all the helpful info!

Thank you for all this information. We’re under contract and we’re dealing with two lenders who are being very cagey about giving us Loan Estimates. I’ve sent them all the info outlined in the CFPB site and insisted that we want a Loan Estimate. Waiting to hear back. Also going to ask around to other lenders. Hoping they’re not all like this.

Yeah Veterans United severely under quotes the property taxes and gives higher than market rates. Make sure to shop around for a lender for sure and understand all the fees on the loan estimate.

Thank you very much for your video! I have one question. I’m still shopping for mortgage, and one of the loan officers I contacted is asking for a deal sheet. I’m still not sure whether I will sign up with that bank yet, and want to shop little more. I’m just wondering what they are going to do with the deal sheet if i provide it to them. Or should I not yet?

Yes, some of these lenders are unethical and need to be reported. They messed up a lot of my deals in the past as a Realtor because they're freaking liars!!!

Does a preapproval come with a loan estimate? Are they the same thing?. Thanks for the help.

Our new builds preffered lender in AZ mistakenly quoted us by calculating 20% vs 20k down.we were so excited with the quote we gave earnest money the next day and stopped looking elsewhere....resulted in 7 months of checking everything single thing this loan officer told me or gave me! Then kept pushing us into a fha loan and said they could refinance me into a conventional loan later... most exhausting time of my life. I ended up going with a conventional!

You don’t get your rate till your in contract and it’s locked , some people think the preapproval default rate is the rate

At what stage I expect them to give me the loan quote with your suggested breakdowns? At the initial pre-approval stage, qualified pre-approval stage, before going to contract? What should I do if I still don't get the full picture from them? At what stage I should shop lenders?

As a licensed LO in WA State, I see this all the time and it's frustrating! When our competition is essentially lying to customers, and then by closing it's too late for them to switch.

Mortgage processor here - if a homebuyer is looking for a prequalification letter to show a seller, it’s not an official application which requires the disclosure of a Loan Estimate, which quotes the actual closing costs and estimates prepaid and reserves for closing (all on top of the down payment). My advice would be to still shop around (and be very very quick about it) for the best rate and closing costs after you’ve put in an offer with the original prequal. If you’re a strong borrower, you can easily switch lenders if the original prequal lender isn’t best for you.

I so appreciate your videos. We were moving right along 'til we had to switch into a FHA 203k. The new loan teams quote make no sense and now our loan officer isn't responding, but keeps pushing us to sign more documents and pay fees to keep the process going. Finding your channel gives me hope there are honest people in the business still out there. 😅

Can you ask for a loan estimate of a previous client with private information removed? i’m thinking if the loan officer can provide a estimate within that year for someone of the similar housing cost area and credit score that people could have an even better idea of the real cost associated loan .

Can you change from lender to going to a bank when your threw a offer on a home and got approved but also got approved from a bank and the lender has a higher interest but still haven't signed the final closing coast

I appreciate you

Correct me if I am wrong, but isn't prepaid interest considered a closing cost? So depending on the day of the month you close, that could be almost a whole month's interest, or it could be 1 day's interest? So many variables. So, under the heading "Closing Costs" you can break it down into fixed fees (both lender and other) and variable fees and costs. There is even a closing cost called "closing cost".

im going through this right now getting ready to close and my monthly is 1162 was 1099 and before that it was 1089 so I am stressing and we are closing soon, closing costs is 8040 downpayment is now 7772 it was 9333 so that went down. sale price on home is even going up

Also, to lower the cost ask your realtor to present the offer with all costs paid by the seller. That way you will only have origination + appraisal. If someone takes a quote from the loan officer, BEFORE going into the contract, they don't know who pays what. After 2010, no one can manipulate the cost numbers. Whatever LE states, that is it. Also to cover all costs, have your LO raise the rates and get the discount. That way you are NOT paying a dime in cost. Good video

Should i not compare escrow and prepaids across different lenders when shopping loans? For example do different lenders have different prepaid or escrow requirements which you may consider when deciding which lender provides better overall value?

The only fees that have to do with the lender is in letter a of page two on the loan estimate. Everything else is pretty much within the borrower's control. If you're buying a house either the buyer or the seller picks the title company, and the title company will be happy to give you their fees before you apply for the loan. The entire right side of page two in the loan estimate is not fees, it's taxes, interest, insurance and the county filing fee, all of which have nothing to do with the lender. The appraisal fee is about the same regardless of lender, but sometimes you get a tight appraisal market where there are no appraisers who will take the bid and in order to get an appraiser you have to pay him whatever they ask. But pending all these fees on lenders or loan officers is not fair. We didn't create the system. This is a government create a document that everybody uses. And it's hard to get borrowers to understand that all of the fees on this page with the exception of letter a are completely under their control and they spend incredible effort getting various lenders to compete based on these fees. That's why you get some lenders that low ball the fees if they can. Because they know that it will ultimately depend on the buyer and seller picking the title company. When you're buying a house just ask how much is the appraisal and how much is your processing, underwriting, origination and are there any points. Everything else doesn't matter because it's exactly the same no matter which lender you use.

QUESTION: #1) What if you look for the loan yourself. Let’s say I apply for a mortgage loan through BofA and gets approved and I decide to go with them. Do I still pay BofA for loan officer’s fees? #2) What f I do both, I apply to mortgage companies on my own and I use a lender referred by my realtor, but I go with mine, do I have to pay the lender for looking?

Do you use smart fees when do your loan estimates? It’s always a bit higher to protect us from tolerances

21,000 to close up here in NY 😭

how is it not a legal requirement to make the borrower aware of these cost? are they not essential to the home purchase?

your in dayton? I'm a LO in cleveland and I might be moving over there

Awesome information. I f you do loans in CA . I would like you to work my clients loans. Great information; Thank you

I used a mortgage calculator from a prospective lender and I got a rundown of all the costs, even prepaid reserves. 1. Is this a good sign of an honest bank to work with? 2. Will these numbers be close to what I’ll be looking at at the closing table? Thank you

Question , does the mortgage insurance and taxes have to be included on the monthly payment or can it be just the taxes on the payment and i shop for my own insurance? thanks

🔥 video

Thanks a lot for your valuable information. Can "Mortgage Insurance" of Loan Estimate can increase in Final Loan Approval? The loan amount, loan type and loan application all are same but surprised to see a increment of $32/month in Loan Approval. Thanks!

Ask if you can drop the escrow by seeing how much of a down payment you need to do this, them you can take the Responsibility of paying the Property taxes, HOA, and House Insurance yourself? Did I leave anything else out?

Is there a way to DM you some questions about that hashtag for the payment calculator?

you the goat

What software do you use

I'm a veteran- 80 percent disability. Guaranteed Rate waives their lender fee. How is that? Will they recoup the cost somewhere else? I am shopping around. Thanks!

Thank for this information. So when shopping for a loan agent asking thier costs seems practical because the rest is beyond their control. Is that fair to say.

Did my refinance 2 times, bought my house september and able to get rid of pmi asap.. I never pay for any closing cost.. If you know what your doing, u will not be cheated

On a 525k VA loan. Originally edtimate wad on 525k Once we wrapped the VA Funding Fee on the loan now we are being qouted 536k with a higher loan amount and higher monthly payment. In addition, the 1/1 buy down amount increased ad well. The section A went up as well (500.00) extra on underwriting fee from the estimate. Does this sound normal?

"Closing costs are $4,999." How? Closing costs vary depending on the price of the home, the interest rate, taxes etc.

Hey there. Love your channel! Would you be so kind as to help me. When buying discount points, you factor in what you'll save on the payment per month. Wouldn't you also factor in the amount you're saving on interest every year. For example, you pay $8,000 in points to get from a 7.125% to a 5.25% on a $323,000 loan. You save $400 a month on your payment ($4,800/yr). You also save an average of $6,006 on interest for the next three years and so on. Wouldn't it make sense to buy that rate down if you are able? I see so much information about looking at the discount points and how long it would take to recover them, but I don't see anything where the interest savings is factored in. Many thank yous.

We just closed a house last night. Our lender never transpsyto us since day one. They quoted us lower than what we paid when were in the title company. From $35K plus to $40K plus already and none of them( my agent and my lender) showed up during my closing. So upset with them! We found out that my agent and the lender officer are friends. That’s why our agent told us to switched from our previous lender and give us a new lender.

When to ask for true cost break down? Because my potential lender is keep giving me examples saying to go over options when we make an offer

What is a reasonable percentage a lender/bank charges for a re-fi?

As someone 16 years in the business the algorithm sent this video to me. I feel you got it a little backwards. What I feel is shady is when I get an competitors LE with severely underestimated escrow collection (1month taxes and 1 month insurance…then 1 day interest lol) that’s shady. Really on a purchase the 800 fees SHOULD be what the consumer is focused on because the rest an unscrupulous lender can make look more attractive. I’m talking LE’s specifically.

Are you able to tell me more of how the nurse or teacher next door works and if that is a good option?

ours was 3500 although i had 10k to put down but thats ok cuz we need lots of repairs.

I would really love to get more information my wife and I are wanting to buy our first home and we are so lost and confused and don't know who to trust or talk to but after watch numerous videos of you we realized we need someone like you we live in north carolina is there anyway you can help?

Always ask for "Cash to close" rather than their fees

Ours said we needed 19k. 6 weeks before closing it changed to 31k. Had to come up with 12k in a month but we did it.

Can you do a video, on what to look for in investment properties loans thanks! I was told I have to buys points because I am financing an investment property and it’s higher risk than my residential home which is closed to 4k