When homebuyers are making what may be the largest financial decision of their lives, having a team of expert professionals around them during the process is critical!
These include a real estate attorney, real estate agent, home inspector and of course, title insurance company to name just a few.
But what about a mortgage expert who the homebuyer can consult with and who not only acts as advisor on the many different potential products, but is also there to help avoid the pitfalls that can throw a wrench into the works and kill a deal?
Some mortgage companies, however, seem to feel that the personal touch may not be necessary and that a completely online process is all that’s needed. Warren Goldberg, President of Mortgage Wealth Advisors, strongly disagrees.
These are his thoughts…
It Doesn’t Take A Rocket To Get To The Top
I had an idea for a new business. It’s a website where sick patients can go to diagnose their ailment. Simply type in your symptoms and the website will diagnose your disease, prescribe medication, and ship it to your door within 24 hours. No need to speak to a doctor or a pharmacist. You can do it all yourself!
Would you trust such a website to properly diagnose your ailment? Would you trust the website to know your entire medical history, know whether the medication it is prescribing is best for your physiology, or whether it will interact with any of your other medications? Would you actually take this medication without first running it past your trusted pharmacist?
Something similar has been happening in the financial services field for years. Many large financial institutions employ “Robo-Advisors” for those investors that don’t want or believe they need a human to interact with.
Are they right? Early indications suggest they are NOT.
Human nature is such that most people make investment decisions emotionally rather than logically. Thus, while the investment fees through a Robo-Advisor may be less, many investors using Robo-Advisors are investing too aggressively or too conservatively for their unique situations or time horizons. They are buying on greed and selling on fear. Thus, while they may be saving pennies on fees (penny wise), they are losing huge sums (pound foolish) over their investment lives.
Now many mortgage lenders are offering similar services which allow borrowers to obtain a mortgage using a completely automated system. A borrower can apply for a mortgage, upload requested documents, and hopefully be approved (or denied) without ever speaking to a person! If you’re used to working with an “order-taker” at a “Big-Box Bank” who simply takes your order without offering any advice or guidance, then using one of these Robo-Lenders will likely provide you with a similar – albeit poor – experience.
However, since your mortgage and your home are likely the most expensive and complex investments in your life, why wouldn’t you seek help from a competent, qualified, and Certified mortgage professional?
In this crazy lending environment, it’s critical that you work with the right people who know what they’re doing and can get the job done. Working together, a mortgage professional will ensure that your transaction goes smoothly and stress-free. You’ll receive accurate information, valuable advice, and a concierge experience. they ensure your mortgage matches your needs, complements your financial plans, and helps you attain your financial goals.
Since 1992, Warren Goldberg has been sharing his industry knowledge and financing strategies, including how to properly use your mortgage as a financial tool. He’s helped thousands of clients own their homes, refinance their mortgages, restructure their debts, and invest in real estate.Google+