additional comments on
"Why Are Rates Not Lower?"

1. B Rad says:

   July 11, 2016 at 3:37 pm

   As a Realtor I appreciate this perspective. I would point out though that many of the major banks are choosing option B, and going lean on their back end staff. Because of the understaffed nature of many banks, underwriters have caused last minute trouble with my very qualified Jumbo loans. It wasn’t a matter of the loans being hard, the processors/underwriters were just not getting around to getting the conditions out until very late in the process.

   Much like a plane landing in turbulence, everyone is happy when the deals go through. But it’s causing headaches for us on the purchase end. I feel sorry for the loan officers who have to deal with the angry customers when a last second condition from a distant underwriter delays their purchase and puts their deposits at risk.

   It’s unlikely any of the banks are going to staff up this year only to trim staff two years from now. So until this refinance boom cools off I highly recommend realtors write contracts with loan contingencies that extend to settlement. And brace your clients for the possibility of last second conditions.

   That said, terrific show guys. Keep it up.

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