Loan Officer (If it ain't broke don't fix it)?

12 Replies

When my wife and I purchased our first home back in 2011 we used a loan officer that was recommended to us through our real estate agent (who was a family friend). They helped us find our house and really worked with us to make sure the process was as painless as possible. We also refinanced using this same Loan officer, again it was a painless process. Now with my mind set on investing in a rental property, my question is should I go the same route again by using this same loan officer and real estate agent to help me through this process? Should I find another agent and loan officer, or should I try to go through the process myself, if that's even possible as in go through my bank for pre-approval, find the properties, make offers myself? Forgive me if these are dumb questions, I'm just searching for clarity!

I would build on the foundation that you already have there. That is if they are able to help you. Set up a meeting with each one of them and tell them what you would like to do and ask them to help teach you what you need to know about it.  you will find out rather quickly if they know what they are talking about or just blowing smoke. 

Listen to all the podcast's 2 times and you will have a good idea of how it all works. 

Hi @Account Closed right now for that reason.

For the lender, my local bank's rate was decently higher than the lowest I found with a credit union so I'm going with the best price over the best relationship.

Originally posted by @Meghan Reed :

For the lender, my local bank's rate was decently higher than the lowest I found with a credit union so I'm going with the best price over the best relationship.


Relationships are important in this business.  Whenever we are looking to finance a property we will shop around to see the various offerings. Once we have a shortlist, we always give our preferred lenders the opportunity to match or better the financing terms we have found.

1(506) 471-4126

Also remember that as an investor, you will find you have fewer built-in protections regarding fees, deposits, disclosures, etc., than as an owner occupant.  If your current realtor has plenty of investment experience, great.  You do not want to be on your realtor's learning curve regarding the differences unless you are well-informed, yourself.  You don't want to find out too late that you've forfeited an earnest money deposit when a contract falls through or pay extra fees for a delayed closing because your realtor didn't understand or didn't explain to you the special terms in the contract.  

As far as the lender, many loan officers don't want to deal with investor loans or have much higher rates and fees than lenders who deal with them frequently, so it wouldn't hurt to research investor-friendly ones, especially those that work with up to 10 properties versus just 4 so you can start establishing a long-term relationship with the right people.   If your current guy has great rates and fees for investment loans and wasn't limited to 1-4 like many are, I'd probably stick with him.  But you won't know that until you research a bit.       

Agreed, @Roy N. .  After writing the above post, I actually decided to give my prior lender a call.  I don't think they'll match the lowest rate I received as it's 3/4 of a point lower but it can't hurt to ask, right?  As for the change of realtor, I think I made the right decision this time around.

thanks @Joshua Daniels I definitely will set up a meeting with both of them to make sure that we are on the same page. I've talked to the loan officer and explained my vision for the buy-and-holds that I would like to own in Maryland as well as DC and he told me about some of the properties that he owns and steps that I should take to get there, so I feel pretty comfortable with him.

I will also go back through the podcasts and listen to ALL of them which I definitely haven't done yet!


@Meghan Reed thanks for the great reply!

I most definitely will do some shopping around this time while keeping both my agent and loan officer in my back pocket because as I mentioned they're awesome. Also, I feel comfortable having explained my entire plan (dream) of owning multiple buy-and-holds first SFH and then Multi-Family to my loan officer and him understanding because he is an investor as well.

As @Joshua Daniels suggested I will request a meeting with the agent to fully explain what I would like to accomplish and be sure that she's the right fit. At this point I need someone that I can learn from and bounce numbers off of like you said. Lastly, I'm part of a great credit union, so I will certinaly check their rates before I go anywhere else!


@Roy N. I'm glad that you made that point, I'm honestly not the best natural negotiator so it's good to be able to have that power to see if your preferred lender will match a better off that you have after shopping around.



Sounds like a great plan.  Good luck!

Amazing points @Lynn M. !!! I will be googling all day to find investor-friendly lenders as well as agents in my area, those extra investor fees and property limitations were something that I never even considered before right now.

Thanks so much


@Account Closed just make sure that these people that you have built a relationship with know that it may take a little longer to find that perfect investment property, and that you will be a little slower on the judgement of the property because you want to make sure it will perform well for you.

There are people within in real estate (i.e. agents and/or loan officers) that might not understand that a property is not exactly great for you since it does not produce the income you want, even though it is a property in great condition. 

If the agent and loan officer worked so smoothly with you in the past I have confidence that they will do the same while you are looking for a great investment property. All you need to do is let them know what your plans are and keep an open line of communication through the process.

Good Luck! 

@Peter Mckernan thank you point well taken. I really didn't consider the patience and understanding that it takes for an agent/loan officer to understand that we as investors are very particular in what we are looking for. I will really start work on building that relationship part with them even more now!


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