This is one of the things with banks. Banks have a lot of a lot of good advantages as a matter of fact, if you’re going to be using bond money. You’re probably going to be using banks. If you need construction loans you’re probably going to be using banks but banks like credit unions. They’re a jack of all trades. They’re not a master of one. They’re doing the checking, they’re doing savings, they’re doing CDs, they’re doing car loans, boat loans you name it. They’re doing anything and everything and when you tend to go to the loan officers and a lot of banks not all of them. So again you know if you work with a bank don’t get mad but I know a lot of people that have worked for banks and what happens is you they get what’s called the foot traffic. They’re not going out there hitting the pavement every day. A lot of the loan officers where the banks are just sitting in the bank and just waiting for the business to come to them.
They’re not going out. It’s sort of like I always look at our industry. Are you have the lion and you have the gazelle. Oh, there are a lot of lions with banks but most of them are gazelles. They’re sitting back. Again banks pretty much most of the loan officers are on a salary plus a Bonus. So you know they’re not straight commission. That’s one of the things. Now when it comes to banks again there are their pros. When it comes to banks you have to understand that they’re only one when lending their money. This could be a problem if you go in and maybe figure on an FHA loan and maybe that’s not really very good in their wheelhouse. They might tell you well you’re not qualified for a loan. They’re not going to say well you could probably get a loan but you just can’t get one through us that’s the problem because you’re only using their money. If you’re a square peg and they have a round hole you’re going to have a hard time fitting in that and that’s the unfortunate thing. You know there’s a lot of fallout. There’s a lot of people banks tend to want the cream of the crop buyers. If you’re walking in with 750 credit scores putting down 20% your salary and employee great but what happens if you don’t fit into that?
You may be working with a bank. You may not know the thing about banks is they’re generally a little higher on the interest rates than say a mortgage broker but they’re a little bit what lower on closing costs because everybody’s in-house and that’s the nice thing about banks is their in-house. Now I will say this if you are going to use a bank. If you’re going to use a credit union, if you are going to use a mortgage broker get someone local don’t go with Wells Fargo and go to some 800 number or you walk into Bank of America and they say oh let me give you this 800 number Des Moines Iowa and you’re what I am in Tampa or somewhere else. You want someone local Out of sight out of mind. You want someone if things aren’t going your way you could go in there and pound on their desk and say what the heck’s going on. So just keep that in mind but you know them generally everybody’s in a localized area. You’ll have your underwriter there. You have your processor there. They do have some programs that they have a little bit more flexibility on because they could just decide not to sell that but they might keep it they might keep it in their portfolio but generally speaking the main thing I would probably rather choose and I’ll get into mortgage brokers in just a little bit. Why I tend to like mortgage brokers better because a bank their loan officer is getting paid usually a salary plus a bonus.