The Brain-Dead Simple but Astonishingly Effective Way to Close More Loans Faster

Submit squeaky-clean files. (that’s the answer)

Want a fatter paycheck at the end of the month?  Submit squeaky-clean files.

Want less hassle and stress at the end of the month?  Submit squeaky-clean files.

Want fewer deals rolling into next month?  Submit squeaky-clean files.

Want fewer annoying client and realtor calls?  Submit squeaky-clean files.

Want to build more trust with your referral partners and get more referrals from past clients?  Submit squeaky-clean files.

Okay, so this sounds over-simplified, I get it.  Like, “Thanks captain obvious, but I’m not trying to make my already ridiculously stressful life even worse.”

That’s fair.  I’m sure if I asked a room full of MLOs to scream “hell yeah” if they ever intentionally submitted a piece of sh*t file it would return crickets.

Submitting sloppy or incomplete files isn’t done on purpose.  But it does happen.  A lot.

The bottom line is, it’s your file and you need to take responsibility for getting it closed on time while providing your realtor partner and client as seamless an experience as possible.

If you’re doing a lot of volume, that can be tricky.

And if you’re new, that can be tricky.

And if you’re lazy, well, you deserve it.

But assuming you’re working your fool head off and doing your best, here are 6 simple ways you can take responsibility for submitting super clean files up front so your deal flies through underwriting and closes early.

 

1.  Invest The Maximum Amount of Time Upfront

A lot of MLOs try to submit as many as files as they can before scrubbing the heck out of them with the theory that it’s just better to get the process started and handle the conditions later.

Sorry, but this is just a stupid idea.

When you continuously submit sloppy files, you slow down processors for your file and every other file they’re working on for other MLOs.   Worse, you make serious “withdrawals” from your processor, realtor’s and client’s emotional bank accounts.

Meaning, because the process is cumbersome and experience is awful, all of the people you rely upon for future business and for helping you get deals closed in the future prefer NOT to deal with you.

Result?

Fewer referrals from referral sources and when your file lands on a processor’s desk, they back burner it for as long as possible because they know they’re going to open up another can of worms.

Take extra time upfront to make sure your loan is structured properly and it meets all product guidelines.  Dot the “I’s” and cross the “T’s” upfront and you’ll give everyone of your key partners less stress, making them WANT to work with you more in the future.

 

2.  Track Your Needs List

Typically when you submit a file to processing, they’ll go through the file and pre-underwrite the file and see what additional docs you might need to ensure the file is strong.

The items they come back with are of course the “needs list.”

If you’re taking responsibility for a clean file and paying attention to guidelines, in a perfect world your needs list would be zero.

But realistically, a good goal to set is 3 or less.

If your processor isn’t already tracking this, ask them to.  They’ll be glad to do it because it will tell them you’re holding yourself accountable to submitting cleaner files.

If you’re averaging 3 or fewer items on your needs list prior to submission, your files are going to move through the process quickly.

 

3.  Learn From The Best

Who in your office has the most on-time closings and/or fewest items on their needs list?  Do you know?

If you don’t, find out.

Then take that person to lunch and pick his/her brain.  Ask them about their process.  Get specific.  How do they do it?  What’s the process?  How do they submit squeaky-clean files?

Find out what they do.  Ask them if you can shadow them when they’re putting a file together.

Learn from the best, and then do what they do.

 

4.  Get The Training You Need

Often times a sloppy file is due to lack of knowledge around how to properly structure a loan and understand guidelines.

Be proactive.  Get with your manager or owner and ask them for time.  Or if you’re a broker, get with your AE and find out if there are online classes you can take.

When you know the guidelines on the most popular products you sell, you’ll be able to request the right documents from your client in advance and have less touches needed after you submit the file to underwriting.

Take responsibility.

 

5.  Ask For Everything Upfront & Use A Checklist

If you’re not sure what type of documentation you might need, then cover your bases and just ask for everything up front.

More than likely your company has a checklist for purchase and refinance deals that lists all the documentation needed.

If you’re not sure which items don’t apply, just ask for all of it.  If you’ve managed expectations properly, you’ve already told the customer you’re going to need a lot of paperwork, so err on the side of over-documentation.

And for crying out loud, use the damn checklist!

 

6.  Be Committed To Excellence

This is an attitude.  It’s a powerful way to run your business.

Be committed to looking after details and being thorough.  Spend the time necessary to double check what you need.  Make sure signatures are present, handwriting is legible, copies are visible and all pages are included.

When you do this, your referral sources will respect you and you’ll get more deals.

Your processors will respect you and they’ll want to work on your files.

Your clients will LOVE you and you’ll get more referrals!

So do yourself a favor, and take responsibility for submitting squeaky-clean files today!

 

 

 

 

 

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