Success as a broker hinges on a number of factors, but one of the most important is the impression you make on a small-balance commercial mortgage lender and the partnership that you build with them. Maintaining good working relationships with your lender benefits not only you, but your borrowers as well.
Here are some tried and true ways to prove your credibility and expertise as a commercial mortgage broker:
Learn about their products.
Before you begin submitting mortgage scenarios, take the time to discuss a small-balance commercial mortgage lender’s products. Talk with them about their loan limits, their maximum LTV, their rates and terms, and the types of borrowers they’re looking for. This will allow you to seek customers who will benefit from what this lender will offer and who will fit the lender’s guidelines.
Submit completed documents.
Once you’ve talked to your lender and are ready to send them deals, make sure all relevant documents pertaining to your borrower’s mortgage request are complete. Missing information makes it hard for your account executive and underwriter to get the deal closed.
Always be upfront about your borrower’s situation.
Many borrowers seeking small-balance commercial mortgages have been turned down by banks and other traditional lenders. Non-conforming lenders are willing to work with your borrower despite past financial issues, but you and your borrower need to explain any challenges as soon as possible. This will allow the lender to provide the best possible lending solution to your borrower.
Follow up in a timely manner.
Time is of the essence for a lot of small-balance commercial borrowers, so it’s crucial for you to manage your time wisely and follow up with your lender quickly. If the account executive or underwriter you’re working with has questions, respond as quickly as possible. The sooner you provide your lender with answers, the sooner the loan will close.
A mutually beneficial partnership between a broker and a lender is ideal for both parties, and it’s important for you to show your lender how your skills be an advantage. Following the above tips will allow you to prove your reliability and competence as a broker, which means you’ll close more loans and earn more income.