posted on Apr, 7 2008 @ 06:51 PM
The answer to your question is this:
Closing attorneys are not there to advise borrowers on how good or bad the deal is that they are signing. Closers are there to explain any and all
questions that the signer may have that is pertinent to the loan dynamics and it's amortization. Closing agents are there to explain what the
mortgage jargon being used in the final documents may or may not mean. They are more of a translator than that of an advisor.
I live in North Carolina, I am a mortgage broker, and if I find out that a notary or attorney that has been assigned to oversee the closing is
advising the client on whether or not the loan that they are signing is a "good" or "bad" decision, I get seriously irrate. The notaries and even
most attorneys are not qualified to advise a client on if a loan is good or bad simply because they have not worked with that borrower, they do not
know the clients financial or credit situation or what their goals were when they set out to accomplish a home loan.
To sum it all up, it is not the responsiblity of the closer to provide any opinion on the actual dynamics of the loan being signed, they are only
there to guide the borrower through the signing and to answer whatever questions that the borrower may have about specific topics pertaining to the
loan. When I schedule a closing I am emphatic about giving the closer as well as the client my direct phone number so that if issues may arise they
can contact me directly.
If anyone should get kicked in the ass in this mortgage process but rarely take any blame, it should be the greedy realtors who would sell their
mother to unload that big expensive house and collect on that 6-8% commission (for basically doing nothing). Also realize that as loan officers, we
would never be able to sell a bad product if the greedy bankers and investment firms didn't design it and introduce it to market. Banks make more off
of high risk borrowers, end of story.
They went for it all and it blew up in their faces. That is why over two hundred major lenders have closed their doors in just over a year and a half.
Personally I have always avoided designer loans, ARMS, over equity loans etc because I knew that they were a bad idea for the lender AND the borrower
This is why I am still making a great living doing what I love and the scammers and crooks who once plagued our industry are all selling insurance