Tulsa Mortgage : Podcast 163
Tulsa Mortgage This is Steve Currington dot com in the Steven Tyler show episode number 163.
Well Steven Tyler with Steve Kerr and tom tom and Tyler while. Negotiating contracts. Are. Very. Smart.
And good for you that they’re tough on them. No one knows what it’s like to get ready. Here’s Steve.
Yellowtail whenever I call Casey at the office Hey it’s Steve Currington dot.com people in podcast land.
Always go yell all do I do that to you Tyler. No. OK. Today on the Steven Tyler show. We’re talking about what is Aluna estimate. Now if you’ve listened to other podcast you might have heard us talk about what is a good faith estimate. What is a low estimate.
Tulsa Mortgage Please please please please give me the best answer I got aground. It’s an estimate.
On your lawn. Oh my gosh. Oh gosh.
What do you see.
Tulsa Mortgage We’re in a tunnel folks. We are in a tunnel. We’re going to tell. Here we go. Hurry up. No that’s not a good song. Let’s go Prince revolution. Hey. Here. I need to tell you guys. Adelbert. I need to tell you guys. When alone.
It’s an estimate.
On your loan. Yeah.
So I know that seems we’re kind of making fun aren’t we. But that’s what it is. I mean it’s an it’s an estimate of your loan. What does it mean.
So all the time here’s what happens people call and they’re like Hey Steve. Buying a house and it’s like 160000. To which I say OK. Are you in contract it. No. OK. So you’re looking at a house that’s 160. You’re interested in how you yes that’s right. How much are my closing costs going to be. That’s a great question. So as a loan officer Tyler. How would you propose or they answer that you have to estimate everything.
I mean the good thing is we kind of have some experience in this arena. We close them once so we can kind of get a good idea of what taxes are and insurance and those types of things.
But. It’s tough to estimate its own estimate. Yeah that’s why it’s called a loan s.a.a. It’s called loan estimate. It’s a loan estimate until it’s closing.
Tulsa Mortgage SOLDIER Yeah Pierce always alone estimate until you’re dead until you’re done. You put a fork in it. Once you put the fork in it. Then it’s done. By the way from what I understand chicken is done. You are finished. I don’t know my English teacher told me that. People always say I’m done. No you’re not. Chicken’s done you’re finished. I finished. So that made more sense. So if you’re finished with your loan estimate then it’s called Closing the called and that’s what talks about if it if it converts from a loan estimate to a closing disclosure then that means you’re gone to closing and you’ve closed. But.
From a loan officer standpoint. What I say to people well I would answer a client that says hey what am my closing cost going to be. That’s a great question. There’s a lot of factors that go into that. I need to know your credit score. I need to know what your down payment is. I need to know what loan program you plan on doing how much money you’re going to put in. There’s a lot of stuff that goes into that so that would be the equivalent. And I say this all the time I say like every day. That’s the equivalent of calling your doctor which I have. Dr. West maples good friend. I’ve got a cell phone. If I call Dr. Wes and I’m like hey am my 14 year old has like this bump on her lake.
Tulsa Mortgage Can you prescribe her some medicine. What do you think Dr. West is going to say. Can you send me a picture of it. Going to make her come in face time now. Yeah. He wants her to come in.
You know he wants to actually do an exam and look at it because he actually has to prescribe her medicine like if he wants to get it fixed right. So. You can’t call your mortgage guy OK. And as a mortgage guy clients can’t expect you over the phone on the fly. Well I don’t know your loan amount. I don’t know your credit score. I don’t know your down payment. I don’t. There’s a lot of stuff that goes into it for me to just quote your rate. Quote you what your closing costs are going to be. Now can I make up a number in my head on the fly. Tyler can you.
Tulsa Mortgage Yeah yeah yeah. It’s pretty easy. I mean like. I don’t know realtors call us all the time and say that. Certain realtors who will go unnamed.
Sometimes say oh yeah your calls it costs me $5000.
Regardless of the purchase price per card this million you know my home my great uncle is called for $5000. Let me tell you.
A major factor in your closing costs that go into your loan estimate is homeowner’s insurance. If you are a person who has had a lot of claims in the past just like with car insurance or if you’re purchasing a house. Little known fact that has a history of claims like there’s been a lot of storm damage. Maybe you live in Moore Oklahoma the epicenter of every tornado that’s ever hit Oklahoma ever. Pretty much right here recently anyway. The insurance could be higher. You know why.
Because the likelihood. Of. That happening again is high. So that’s what they do. So if I don’t know. That one thing. It can make a difference of a thousand $2000 just in closing cost.
What do you think your insurance being 1300 a year versus your insurance I mean three thousand a year what does that do to your payment to. Jackson. You’re going to go up it goes up it actually doubles.
Your monthly insurance amount.
Because. Fifteen hundred dollars a month is about one hundred twenty five bucks right. Three grand a month is 250. So your payments going to be 100.
Tulsa Mortgage 125 bucks more but also. Little known fact on your loan estimate. What do I have to estimate your homeowner’s insurance. And. I have to click for one year up front. So would that make a difference. Tyler Oh absolutely. If your insurance was 1500 bucks versus 3000 or 3000 versus fifteen hundred or forty hundred for that matter. We quoted one not too long ago in a tornado struck in town. The insurance was fifty five hundred dollars a year. That’s expensive isn’t it. It’s a lot but think about that. Hey can you give me closing costs 160000. No. I cannot. Not right now on the phone. I can get x y z.
ABC 1 2 3. Let me tell you a story about it.
Tulsa Mortgage But here’s the OBRA I love you you’re my friend that’s why you called me and I’m going to do you more. But in order to be a professional and quote appropriate information. I need some of my. And if you’re a loan officer and a client is not willing to give you the information that you need in order to best assess and give them. A quote. I got to turn that around. Then you’re wasting your time.
Right now you’re wasting your time. Because here’s the deal. If someone calls me and they say I just need to get an estimate of closing costs for this house I think I’m fine. And I stop everything I’m doing. Without taking their application without doing anything and I go work up a good faith estimate. I’m not even really doing my job. Because the law says that in order for me to prepare a loan estimate. I have to have a loan application. I have to have a 10 on three. And if you have not given me consumer your loan application I can’t prepare a loan. Now there are guys that will do it. You know why. Because they’re desperate for your business. Just like doctors that are desperate for your business will prescribe drugs without it without giving you an exam. All right. Yes this is what they get in trouble they get their license taken.
Right. Because they’re good doctors right but they’re desperate for customers and money. So they’re like hey Tyler if you will give me two hundred dollars I will in turn give you this prescription for hydrocodone so that you can continue on your addiction to pain medications. Right. Right. And eventually somebody says Hmm that’s mantra like you can’t do that. You can’t give people drugs that don’t need drugs you like feeding their drug addiction bro. Well it’s the same way in mortgage. I cannot give you a loan estimate that is accurate any way shape or form that you could do anything with.
If I don’t have a loan of cash. So if you’re a loan officer and someone wants to call you and get rates over the phone. They want to get a loan estimate and closing costs and all that. It’s a really cool thing. I just told Sam a minute ago you need to go to Steve Currington dot rocks in a hit the Apply album and fill out an application. And then and only then will I be able to quote you an accurate number and until you’re willing to do that I’m not willing to waste both of our. Time. I mean it’s just going to happen because it isn’t worth it. Like you’re obviously if a consumer is calling in doing that there’s one or two things they’re either not serious one or they’re not going to use you in the first place because what happens is this.
Ring Ring. Ring ring ring ring voicemail all. The shot that I wanted to use didn’t answer.
I really need this answer now. Let’s see what sucker I can get to give this information to me.
Google TLC. Can you tell me what your interest rates are on a 30 year fixed. No. Can you tell me what your credit score is. Well I think it’s a no. Can you tell me what your down payment is. Can you tell me what loan program you’re getting. Can you tell me what your final loan amounts going to be. Can you tell me what zip code the property is going to be in. Can you tell me how much your homeowner’s insurance is. Can you tell me what title company you plan on using. Is the celebration of your closing costs. Do you see all the things that go in there. Do you know what your taxes are on the property. No you don’t know all that Kyra. You know why.
Because you’re trying to get me to give you a prescription for something that we can’t really assess now. So the answer.
Tulsa Mortgage Ring Ding ding ding is what. No. Get a loan application. And then I can properly assess your loan. That’s all I got to say. Loan estimates are cool.
Broadcasting live from the koala’s studios in Tulsa Oklahoma. You’re listening to the Steven Tyler show