On Wednesday, November 12, 2008, the Department of Housing and Urban Development (HUD) issued a press release announcing the finalization of its changes to the Real Estate Settlement Procedures Act (RESPA). We shall see if this new ruling actually helps or hurts the consumer market. It seems that too much of what our government imposes on us as helpful ends up doing more damage than good (see last two posts as some proof for that).
I guess what is frustrating with this is people should not be working with lenders that do not disclose info. Why do people work with these lenders? And the reason is because they trust somebody too much and by the time they realize they are about to get screwed it is too late (at least in their mind). But it is never too late to walk, folks. You are never forced to work with a particular lender. And just because you may have already started the process and would have to start again, it is worth it; if you do not walk away where is the “lesson learned” by these people.
But it is more than just blindly working with someone referred to you. Every loan we do is referred to us. But when people call us they can immediately here the difference just in what we are saying. Good lenders should stand out. Great ones immediately display a difference. We have said this a thousand times, the inward reality MUST match the outward perception. Just because someone has referred you to a lender does not make them good (the outward). What are the specific things they do that show they are the best (the inward). It is up to you to ask because most lenders would never volunteer this info to you because they cannot show anything. They are all talk.
We would love to further discuss this with you. Call us if you would like to.
In the mean time, here is the link to the new HUD ruling. Let us know if you have any questions.