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newlywedT
LIF Adolescent
Member since 9/11 792 total posts
Name:
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Mortgage question
Shopping around for a mortgage and I asked a few banks "What sets you apart from other banks/why would someone use your bank for a mortgage"
Some banks say:
"We'll match any rate"
"If you have X dollars in your account, we'll knock off .25%"
But some banks say things like:
"We dont sell our mortgages"
"The process is easy with us"
"Other banks have a lot of problems, with us in the future just call me up..."
What problems could there be?
Once you got the mortgage, isn't it just sending a check every month?
For things like Credit Cards or Internet, there might be problems (fake charge on the card or the internet service died) - those you might have to call the company so their customer service is important.
But for a mortgage, You just pay every month and thats it - no need to ever talk with them again - right?
Also, does it matter who owns the mortgage?
Like one bank said "We don't sell our mortgages, so you'll always deal with us" - but who cares who owns the mortgage right?
You're just sending a check to them every month (you'll never talk to them). Its not like some dude is going to be screaming outside your house every month for the payment - so it doesn't matter who owns it or how nice the company is - does it?
Thanks
Message edited 6/1/2021 11:07:08 PM.
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Posted 6/1/21 11:03 PM  |
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Blazesyth
*yawn*
Member since 5/05 8129 total posts
Name:
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Mortgage question
They could not send the insurance payment on time.... speaking from experience.
They could not pay the tax bill on time....
If all is good, you shouldnt need to talk to them. But I wouldn't say never. And I wouldnt take anyone's word for it that you can just call them up (instead of customer service) to get anything taken care of for you.
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| Posted 6/1/21 11:22 PM |
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RainyDay
LIF Adult
Member since 6/15 3990 total posts
Name:
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Mortgage question
It's all about customer service. Our mortgage was sold shortly after we closed and the customer service happens to be much better.
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| Posted 6/1/21 11:39 PM |
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LSP2005
Bunny kisses are so cute!
Member since 5/05 19458 total posts
Name:
L
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Re: Mortgage question
We had a special tax assessment that they failed to pay. I only found out when the town sent the first and only notice to me 10 days after it was due. They sent all prior notices to the mortgage company that did not pay it. So I had to run to the town on day 11. Had it gotten to day 15 the bill would have doubled in size. So yes, there are things you need to be on top of.
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| Posted 6/2/21 12:00 AM |
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Re: Mortgage question
They could be the only mortgage entity that requires cosignatures for home repair settlements and loans for home improvement and then refuse to co-sign the insurance check you received until you sue them. They could admittedly lose the mortgage check when you sell your house and make YOU go through hoops, delays and frustrations to fix it. Other things too. Our first mortgage was with a very large entity that didn’t give a damn.
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| Posted 6/2/21 12:05 AM |
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ali120206
2 Boys
Member since 7/06 17792 total posts
Name:
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Mortgage question
We haven’t had to contact our mortgage company after financing/refinancing.
I set up autopay as well so I don’t send a check. We don’t escrow though so they can’t not pay something.
We had the best luck working with a mortgage broker as opposed to a specific bank.
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| Posted 6/2/21 1:52 AM |
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LuckyStar
LIF Adult
Member since 7/14 7274 total posts
Name:
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Mortgage question
I've gotten 2 mortgages. The first was through a specialty mortgage bank. They sold before our second payment was due. The application process was super easy. The second was through a big bank. Process was a little more annoying, but not horrible. Mortgage has not been sold and we were told it wouldn't be.
In both instances, we were personally referred to the loan officer and I think that can help with the process. I haven't had to call the bank for any reason (knock on wood) but I would call the loan officer to have him direct me to the right person. My advice would be to get a referral.
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| Posted 6/2/21 3:18 AM |
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tourist
Member since 5/05 10425 total posts
Name:
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Re: Mortgage question
Our mortgage was sold shortly after we purchased ( like a year or 2) and it hasn't really made a difference, but maybe it depends on who it was sold to. Our bill comes on time, our checks clear & we don't talk to anyone. ( we are in a co-op, so no taxes for the bank to deal with.)
The CS issue to me, is more important when you are buying, b/c you need them to do all the paperwork & get everything ready.
We went with the 2nd lowest rate, (it was very close) because the other bank never returned calls.
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| Posted 6/2/21 3:28 AM |
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newlywedT
LIF Adolescent
Member since 9/11 792 total posts
Name:
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Mortgage question
>>They could not send the insurance payment on time.... speaking from experience. They could not pay the tax bill on time....
>>We had a special tax assessment that they failed to pay.
Ok, stupid question.
Mortgage companies pay the Home Insurance and the Property Taxes? Is that normal?
Can I pay that myself?
I prefer to keep payments separate so I can track it easier.
>>It's all about customer service. Our mortgage was sold shortly after we closed and the customer service happens to be much better.
What customer service did you need? (if you dont mind me asking)
I know its different, but we had a mortgage on our Co-Op, and I never spoke with the company for anything. But its a co-op not a house.
Thanks everyone
Message edited 6/2/2021 3:30:39 PM.
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| Posted 6/2/21 3:30 PM |
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DrMeg
Back home!
Member since 5/08 1858 total posts
Name:
Meg
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Mortgage question
When we first bought our house our mortgage was sold within the first 3 months. I had to fight with both companies because they were both telling us our payment was due to them.
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| Posted 6/2/21 3:39 PM |
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LSP2005
Bunny kisses are so cute!
Member since 5/05 19458 total posts
Name:
L
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Re: Mortgage question
Some mortgage companies require you to escrow your taxes. So they pay for it as part of our tax bill as a combined mortgage and tax payment every month.
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| Posted 6/2/21 4:46 PM |
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Momma2015
Mommax2
Member since 12/12 6655 total posts
Name:
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Re: Mortgage question
Posted by newlywedT
>>They could not send the insurance payment on time.... speaking from experience. They could not pay the tax bill on time....
>>We had a special tax assessment that they failed to pay.
Ok, stupid question.
Mortgage companies pay the Home Insurance and the Property Taxes? Is that normal?
Can I pay that myself?
I prefer to keep payments separate so I can track it easier.
>>It's all about customer service. Our mortgage was sold shortly after we closed and the customer service happens to be much better.
What customer service did you need? (if you dont mind me asking)
I know its different, but we had a mortgage on our Co-Op, and I never spoke with the company for anything. But its a co-op not a house.
Thanks everyone
We were never given the option to pay for our tax bills ourselves, but I don't care. I'd prefer to have it all taken care of so I don't have to worry about it at all. Our mortgage is through Wells Fargo and they were a little bit more exhaustive when applying, it was fine. They sold our mortgage about a year after we closed on our house, but we still make payments through the Wells Fargo website and use their customer service so I really couldn't tell you what the difference is. I've literally never contacted them, but DH did once and it was easy peasy.
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| Posted 6/2/21 4:48 PM |
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RainyDay
LIF Adult
Member since 6/15 3990 total posts
Name:
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Re: Mortgage question
Posted by newlywedT
>>They could not send the insurance payment on time.... speaking from experience. They could not pay the tax bill on time....
>>We had a special tax assessment that they failed to pay.
Ok, stupid question.
Mortgage companies pay the Home Insurance and the Property Taxes? Is that normal?
Can I pay that myself?
I prefer to keep payments separate so I can track it easier.
>>It's all about customer service. Our mortgage was sold shortly after we closed and the customer service happens to be much better.
What customer service did you need? (if you dont mind me asking)
I know its different, but we had a mortgage on our Co-Op, and I never spoke with the company for anything. But its a co-op not a house.
Thanks everyone
It all depends on the terms of your Mortgage regarding the Property Tax and Home owners insurance. Most require you to hold an escrow account with them that they pull the funds right out of to pay both. They keep a reserve to make sure there are funds to pay. You should see the payment of those on your statements from Mortgage company.
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| Posted 6/2/21 4:50 PM |
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ave1024
I Took The Wrong Road
Member since 12/07 6153 total posts
Name:
That Led To The Wrong Tendencies
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Re: Mortgage question
Posted by newlywedT
Some banks say:
"We'll match any rate"
"If you have X dollars in your account, we'll knock off .25%"
But some banks say things like:
"We dont sell our mortgages"
"The process is easy with us"
"Other banks have a lot of problems, with us in the future just call me up..."
Most of this is hogwash IMO and are scripted answers for them trying to justify why their rates and closing costs aren't the best..
"We don't sell our mortgages" - Maybe not today but it's not like it can never happen.
"Process is easy with us" - Maybe, but I know for fact it can be easier with others (more on this below as to who i recommend).
"Other banks have a lot of problems" - Really doesn't hold any weight and your mortgage rep will have no insight on your mortgage after the loan is funded.
And a few people talked about Escrow issues. You can have escrow issues with any bank really. Most of the time the banks just end up blaming the local towns for errors.
Frankly unless you have some loyalty to your bank, the best thing to do is always go for the best and cheapest deal. I use an online brokerage for all my deals now https://better.com .
These guys are Better are by far the easiest people to work with. You do the entire process online including uploading all your documentation. They are really fast too, they have closed out of state mortgages for me in under 30 days. Might be a little longer in NY due to the need to use attorneys. But their prices are rock bottom.
They will sell your mortgage after it's funded, but the last two times they sold me to Mr. Cooper who is a progressive online mortgage lending bank. I had to deal with their customer service once and it was excellent. The first time I got sold to another major bank, Wells Fargo.
In the end you are sending a check. Why are you going to pay tens of thousands of dollars in the long run to pick the address you send the check to. Doesn't make a whole lot of sense to me.
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| Posted 6/2/21 5:08 PM |
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ave1024
I Took The Wrong Road
Member since 12/07 6153 total posts
Name:
That Led To The Wrong Tendencies
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Re: Mortgage question
Posted by Momma2015
We were never given the option to pay for our tax bills ourselves, but I don't care.
Most banks won't openly give this option because it's in their best interest to make sure the taxes get paid. They like escrow. Otherwise if taxes don't get paid the town's lien can override their lien.
You just have to ask during the mortgage process to waive escrow. Usually you need to put down at least 20% to be offered this. I never escrow. Too many hassles worrying if the bank is making the correct payments on time. I'd rather have the money sit in my account earning better interest. And if I pay early, the towns usually give a small discount which the escrow banks never pass on to the homeowner.
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| Posted 6/2/21 5:11 PM |
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FirstMate
My lil cowboy
Member since 10/10 7790 total posts
Name:
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Re: Mortgage question
I honestly don't think it matters if they sell your mortgage or not. I have gotten three mortgages in my life. All with big banks. Wells Fargo did not sell, Citi sold before our first payment.
I handle real estate transactions a lot. Go with the bank that has the best interest rates, lowest fees and easiest application process. I'm partial to mortgage banks because it cuts out a lot of the middle man. I am not a fan of the big banks, particularly Chase and TD. Always a sh!t show with both of them.
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| Posted 6/3/21 4:03 PM |
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seaside
LIF Adult
Member since 6/08 3101 total posts
Name:
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Re: Mortgage question
Posted by ave1024
Posted by newlywedT
Some banks say:
"We'll match any rate"
"If you have X dollars in your account, we'll knock off .25%"
But some banks say things like:
"We dont sell our mortgages"
"The process is easy with us"
"Other banks have a lot of problems, with us in the future just call me up..."
Most of this is hogwash IMO and are scripted answers for them trying to justify why their rates and closing costs aren't the best..
"We don't sell our mortgages" - Maybe not today but it's not like it can never happen.
"Process is easy with us" - Maybe, but I know for fact it can be easier with others (more on this below as to who i recommend).
"Other banks have a lot of problems" - Really doesn't hold any weight and your mortgage rep will have no insight on your mortgage after the loan is funded.
And a few people talked about Escrow issues. You can have escrow issues with any bank really. Most of the time the banks just end up blaming the local towns for errors.
Frankly unless you have some loyalty to your bank, the best thing to do is always go for the best and cheapest deal. I use an online brokerage for all my deals now https://better.com .
These guys are Better are by far the easiest people to work with. You do the entire process online including uploading all your documentation. They are really fast too, they have closed out of state mortgages for me in under 30 days. Might be a little longer in NY due to the need to use attorneys. But their prices are rock bottom.
They will sell your mortgage after it's funded, but the last two times they sold me to Mr. Cooper who is a progressive online mortgage lending bank. I had to deal with their customer service once and it was excellent. The first time I got sold to another major bank, Wells Fargo.
In the end you are sending a check. Why are you going to pay tens of thousands of dollars in the long run to pick the address you send the check to. Doesn't make a whole lot of sense to me.
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| Posted 6/4/21 6:56 PM |
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Katareen
5,000 Posts!
Member since 4/10 7180 total posts
Name:
Katherine
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Mortgage question
Go with whoever gives you the best rate. Period.
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| Posted 6/5/21 1:44 PM |
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Mortgage question
First house, I had M&T bank and used their broker and it was a very very extensive underwriting process. Like never in my life had to give info like that. My mortgage was never sold or anything. They were a pain during the mortgage payoff process when we sold too but no other issue
Second house, I used a broker through freedom mortgage. Broker was great, there for us, they had an issue at closing that we lived in a PUD and we don’t but he fixed it right away and no issues. I pay online through automatic biweekly payments. 11 days after closing I got a letter that my mortgage was sold to someone but I still pay freedom mortgage. So far no issues it’s only been a few months but so far no issues we will see when it comes time to pay taxes/ home insurance. I escrow with my mortgage.
We went with freedom because my interest rate was 2.6 and they did a 30 day closing for us and we needed a fast closing.
I did with M&T bank as well and never had an issue with them
Message edited 1/1/2002 7:12:12 PM.
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| Posted 1/1/02 7:08 PM |
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