“If brokers would actually put notes in their apps that make sense,” writes on frustrated professional at a broker channel lender. “And stop sending deals to three or four lenders at the same time, it would likely improve service levels.”
He or she (the comment was posted to MortgageBrokerNews.ca anonymously) is by no means alone, with other “bankers” offering the same sort of defense against broker criticism that slow turnaround times are stifling growth.
On the contrary, say lenders, some brokers are guilty of throwing up their own obstacles to winning quick commitments for their clients.
“Brokers’ notes in the application improve the turnaround time,” writes another commenter, Kuldip Panesar. “Originators after processing the app should stick to the one lender.”
The inference is that brokers aren’t providing the kind of file details lenders increasingly need to satisfy underwriting guidelines. There’s also concern that brokers simply aren’t spending the requisite time because they’re sending out one-size-fits-all applications to multiple lenders in an effort to hedge their bets.
That may actually be working against them.
Still, this year’s CMP Brokers on Lenders survey points to growing broker dissatisfaction with lender turnaround times as a whole, although individual players are actually garnering more praise that in past years.
A new MortgageBrokerNews.ca poll is also adding weight to broker concerns.
Some 32 per cent of mortgage professionals responding to the online research question in September identified turnaround times as the “single-most important lender feature.” Underwriting support and interest rates came a distant second and third, capturing 25 per cent and 10 per cent of the vote, respectively.
New CMP research identifying turnaround times as brokers’ biggest gripe has lenders suggesting blame may ultimately rest with those same finger-pointing originators.