The need for speed

Is there such a thing as working too fast?

By Kimberly Greene

22 May 2018

When your client wants to buy a home, they want to have moved in yesterday. According to the latest origination survey from cloud-based platform provider Ellie Mae, the average closing time for all loans is 41 days, but it could take as long as 60. The wait can be maddening for you as well as for your clients.

In spite of the pressure to deliver quickly, remember that there is such a thing as moving too quickly. Chad Jampedro, president of GSF Mortgage Corporation, borrows a motto from former UCLA coach John Wooden: “Be quick, but don’t hurry.” He says that in the current market, originators are so happy to help the clients and referral partners they have that they’re rushing through transactions.

“Service is key and I understand that information in today’s world is all about on demand, but I think it’s more important to be right,” Jampedro said. “So what I explain to [originators] is, we want you to be quick but don’t hurry. Be quick, deliver great information, but don’t hurry through it. Pay attention to the fundamentals. Pay attention to the details, because those matter, and the expectations on the other end is that they’re getting perfect information, not just fast information, but perfect information.”

Rushing through a transaction – forgetting to include a document or not double-checking an application – could ultimately get you a reputation of being a bit sloppy, as well as offering a lower level of service to the client.

“You are an expert. They are looking to you for your expertise, and listen, if you have to wait an additional 30 minutes or even a day to give right information, that’s better than giving quick, wrong information,” Jampedro said. “We want you to move quickly, as quickly as you can, but be effective when you’re in action.”

So what can you do to help your clients secure a loan as quickly as possible without rushing through the process?

1. Technology isn’t the enemy
Whatever your feelings about technology and the mortgage process, there’s no doubt that making it easy for clients to submit documents online can shave days off of the time it takes for clients to get those documents to you. Submissions to a secure portal can also help save time with data entry once those documents are received.

2. Make sure that your clients have submitted all the required documents
Often the client will think that they’ve submitted everything necessary, but don’t take their word for it. Save time and double-check on your end.

2. Match your clients with the appropriate lender
Clients will often rate shop aggressively and want that lowest rate regardless of the lender. It may seem faster to appease them, but if you know that it’s just going to get declined, it’s much better to convince them to go with another lender that’s better suited to their overall needs.

4. Streamline workflow
If you draw in the business, you don’t necessarily have to be responsible for seeing it through start to finish. Amber Scott, who worked as a loan processor with Veterans Lending Group, said that subdividing the work streamlined the actual process of processing.

“One team member works with the borrowers and agents to gather the necessary documentation and assist in initial structuring of the file, one team member works solely on third party set up items like verifications of employment, appraisal orders, etc., and one team member works solely on preparing the file for submission to underwriting and moving the file through underwriting to docs,” she said. “The processing team stays in close communication, but having one person focusing on one workstream really does seem to make the process move faster, and there are more people available to help answer questions when borrowers call in because we all know what’s going on with the file.”

5. Identify the delay
Guaranteed Rate recently launched a new service, Appraisal Express, after identifying that it can take between two and three weeks for an appraisal to come full circle. With such high volumes, the company is able to leverage the appraisers in order to compress that turnaround time to 48 hours (depending on the cooperation of the listing agent). If you can identify the point where your files are getting bogged down, you’ll be better able to create a solution for it.

6. Be accessible
You have appointments and meetings and calls just like anyone else. But if someone has to play phone tag with you in order to ask you something, it could add days to what’s already a long process. Make sure you’re reachable should you be necessary for clarification.

7. Give the team some space
Everyone wants constant updates, but trying to get them can actually prevent the processors and underwriters from working on the loan, thereby slowing down the process.