This is a YouTube video titled "Here's a Tip for a Smoother Process! #mortgageloanofficer #firsttimehomebuyer #homeloans #homeloans" containing a single-speaker explanation about structuring home loan deals, specifically focusing on appraisal strategies to facilitate smoother financing. The content is instructional and aimed at homebuyers or those involved in mortgage loans, created in July 2024.
One tip when structuring the deal on your home loan is if you have any plans to increase the purchase price maybe later in the transaction, it's honestly probably best to do that at the very beginning. And here's what I mean. When the appraisal takes place, the appraiser looks at the contract. They see how much the purchase price is. They know that's the number we need to hit on the appraisal to make this whole deal work and to keep everybody happy. And keep in mind, for most appraisal companies, we're their biggest account. So it's a lot of business on the line. They want to keep us happy, they want to hit their mark. So we keep sending them business. But sometimes people want to, oh, if the appraisal comes in a little bit higher, well, that I'll bump the price of the house up and get that difference back in the seller credit to help cover my closing costs. But sometimes if you only ask for X amount, you don't stretch it to what you really wanted. The appraiser might just cut it short. They don't want to push it beyond their means. It's a little safer for them. They didn't push the issue because they didn't know we needed to. So if you want to aim for it, set the bar high where you really want it and then you can come down from there. But you might have missed the boat if you didn't spell it out for the appraisal companies on what you really wanted for your target. This is a little trick to make your financing go smoother.
