5 Huge Mistakes Loan Officers Make on Out-of-State Closings

You work hard for your customers and it delights you to be able to see people secure loans with your help so they can afford their dreams; but if you’re not doing your due diligence on your out-of-state closings you could be doing your clients a disservice. Here are five of the biggest mistakes that occur with out-of-state closings.

Not Fully Researching the People You’re Working With

When doing out-of-state closings, you don’t know the team like you do your local companies. A lot of times loan officers rely on someone saying they know someone. In a closing, you want to work with a team of people who will communicate if things are not progressing as expected. With an out-of-state closing team you’ve never worked with before, you’re banking your reputation on these loose connections.

Not Understanding the State Requirements

Each state is different (or has the potential to be). If you’re not up-to-date on the requirements or working with people you trust, paperwork and other details can contain mistakes or be incomplete. Working with a national title company can help you avoid this because it is their job to be abreast of state requirements and their employees will have the knowledge and certifications necessary to conduct closings in other states.

Failing to Research the Technology Being Used

If you’re using someone out-of-state for the closing process, in addition to researching them and their team, you want to pay attention to the technology they use. If they’re employing a system that is compatible with yours, paperwork and data exchange will be effortless saving time and eliminating the potential for mistakes. However, some title companies use very primitive technology. Transcribing numbers from paperwork and other non-automated approaches allow for more costly errors to be introduced and time to be lost in the closing process.

Not Understanding Your Options

If you have an out-of-state closing you needn’t select someone you don’t know in that state, nor should you refer your client to a closing company you haven’t worked with. Instead consider a national title company you’re already familiar with and has the credentials to close in that state. This gives you peace of mind that you are referring your customer to someone you have confidence in to make the closing date and communicate any obstacles. Even though technology allows us to talk through video conferencing to anyone around the globe, there’s still comfort in doing business with someone you can trust.

Not Establishing a Weekly Meeting/Conference Call

Closings have a lot of moving parts. When working with someone you don’t know it’s best to establish regular communications, as in the form of a weekly conference call to bring any issues to light before they become larger problems.

Working on an out-of-state closing leaves a lot to chance if you’re dealing with unknowns. But it doesn’t have to be that way. A national title company can help you conduct an out-of-state closing with a hometown team you trust.

Bay National Title Company has worked thousands of out-of-state closings. Let us put your concerns to rest. There’s no reason to risk your reputation on an unknown. We’re there for you. Contact us today.