By Moshe Wilshinsky
I’m referring to that of borrowers’ when they take a mortgage of course. In past articles that I have written for this publication I have touched on some of the different factors one has to take in to account when deciding what type of mortgage is best suited for them. While I do understand it is much easier just to have someone tell you what to do or letting someone else just make a choice for you. Yes all the details, issues and considerations involved in the process of getting a mortgage can be daunting but the ramifications of the decisions can be the more signification in financial terms than almost anything else you usually deal with. Let’s remember what we are talking about, the largest single financial obligation that is tied to not only your largest asset but the asset you use more often than any other. If you had a persistent leak sooner or later you will fix it (and if not maybe you will now) because you realize what a significant waste it is over time, so you take the time to get the person to come in and fix it or you do it yourself but one way or another you learn what to do to find the resources to stop the water running down the drain. Well multiply that loss by many, many times on an annual basis and then add a couple of zeros (okay, it’s significantly bigger) given the potential duration of the loan, and that is the potential money you are pouring down the drain.
You may be saying what are we supposed to do, it is not feasible to become an expert overnight or for that matter in the amount of time most people have to arrange their mortgage, but what you can do is educate yourself enough so that with the help of an experienced expert you can make choices based on understanding the actual or potential consequences are from those choices and make sure that the potential effects of those consequences are in line with your interest and desires.
This is one of those things I am passionate about and I train my staff to educate wherever possible, and sometimes clients get that glazed look in their eyes that’s says I don’t care just fund me but after the process they most often understand why the information was important and that it enabled them to understand what to do.
Once we finish a general pre-qualification process that allows us to understand what the options are potentially available given the current requirements for loan approval, we focus on the borrower’s preferences and help them understand their options given their particular situation and what the ramifications and effects of those options are, at that point the client is in a position to make a choice like a professional or in the vernacular choose like a pro.
Moshe Wilshinsky is the CEO of Moville Mortgage & Finance Ltd. Contact information: Israel: Dial: 073-796-2226 and then press the special 711 BiznessMagazine extension. In the U.S., dial: 201-377-3418; in the U.K., dial 208-596-4501. Website is at: www.movillefinance.com.