Posted by Shane_OH on 2/8/06 7:37am
Msg #95303

Off the wall question.....closing car...

This is something that I did up in Indiana last year, and wondered if anyone else had the same feelings.

What car do you guys drive to your closings?

There is a great closer in Indiana that I worked with, we both basically split the loans coming out of an office, and she used to drive either an Cadillac Escalade or Convertible Mercedes to her closings. Yet, she had the higest recission rate I'd ever seen. Talking with the LO's that had her close her deals, a large majority said they thought the fees were too high, which is why the recinded. However; prior to closing they had been disclosed the fees, and in many cases were faxed a HUD, and felt the fees were fine.

After months and months of about 3-6 recissions a month (closing 20-30 loans a month), she got a used car.... and now, almost no recissions.

Anyone think that if a bwr sees you drive up in an expensive car that they start thinking about the fees a little bit more?

Reply by kkdmiddleton on 2/8/06 7:47am
Msg #95304

That's an interesting concept. Guess I never thought of that. Of course I drive a Mini Van, so the thought would never cross my mind. LOL.

Reply by Charm_AL on 2/8/06 7:50am
Msg #95305

I was always told 'Image' when working with the public. I recently traded in my 92 Camry for a white 05 Malibu, looks a little European and haven't had any problems. In my opinion, it doesn't matter what you drive, but I certainly would never pull up in a Bondo bucket!

Reply by Janlee_MI on 2/8/06 7:51am
Msg #95306

Shane I drive a BMW for the past 5 years. And it has never bother my clients. I think it might be the way she went over the docs. I have only had 3 loans in the past 10 years not close.

Reply by Shane_OH on 2/8/06 7:56am
Msg #95307

I picked up a 1998 Mercury Sable woohooo! for a closing car hehe.
the last 2 years I've put on about 60-70,000 miles per year... so I don't want to run up the mileage on my normal car....

I was just curious what everyone else thought.

Perhaps the reason why this particular LO had troubles was the company was a subprime lender, and those bwr's as we all know, look for a reasons to cancel lol. Because they want a 5% fixed rate, no prepay, no closing costs, with a 500 FICO.

Reply by Julie/MI on 2/8/06 8:04am
Msg #95309

Interesting.............

Back when I had my first house and needed to sell it, I had a market analysis done and the real estate agent drove up in a Caddy and when I figured out the 6-7 percent commission (I know there are advertising expenses and the broker gets a cut), I sold it by owner. I still sell by owner because of the caddy on the driveway!

Reply by Beth/MD on 2/8/06 8:07am
Msg #95311

I drive a 2005 Honda Accord. Last year I traded in a 1998 Accord. So, I pretty much drive up in the same class of vehicle as the borrowers.

Reply by PAW_Fl on 2/8/06 8:14am
Msg #95314

I use one of two cars. My daily ride is a 1999 Mazda MX-5 Roadster (Miata). However, there are times I take my wife's Protege, especially when I know the 'road' to the borrowers home is a cow path.

Reply by LynnNC on 2/8/06 8:35am
Msg #95326

I drive a Cadillac Escalade because I have been in two serious auto accidents (I was disabled for six years because of the last one) and it is the closest thing to a tank.

Although I have only been in this business for 9 months, I have not had any recissions that I know of. I have had very few sub-prime loans and I always tell the borrower(s) when I confirm to check with their lender the day before or the day of the loan to make sure they know the numbers on the HUD and the terms of the loan. I don't want to show up at the table and have to deal with unpleasant surprises. I do know of three loans that cancelled before the closing because the borrowers did what I suggested and were not happy with the terms.

Reply by NM_CO on 2/8/06 8:43am
Msg #95335

I drive an X5 or a 745 to every closing. I have never had a loan rescind to date, only one no sign.

Reply by cmd_NH on 2/8/06 9:18am
Msg #95362

I drive a 03 Chevy Avalanche...Living in this area....mountains, dirt/mud roads, snow, ice, Moose & Deer...it's makes my hubby feel better knowing I'm in a bigger vehicle. Never had a problem with rescission or no sign yet. But I guess it's bound to happen sometime.

Reply by Sandy_MD on 2/8/06 9:36am
Msg #95372

I dont drive a car, I have a truck. I like being able to see what is around me.

Reply by srnotary_CA on 2/8/06 9:42am
Msg #95379

I use my Durango. Sometimes I use my hubbys t-bird. Have never taken the truck it is too big for me lol.

Reply by MB_AZ on 2/8/06 9:59am
Msg #95387

I drive an '03 Tahoe. Some neighborhoods I have signings in I wonder if my shiny 20" wheels and tires will be gone while I'm "working."

Reply by Leon_CO on 2/8/06 9:55am
Msg #95385

I have no worries about people thinking my fees are too high. When they see my '72 VW Bug they feel compelled to take up a collection to buy me a new car.

Reply by cmd_NH on 2/8/06 10:25am
Msg #95406

Leon: I had a 72 VW Superbeetle....

"poor man's 4WD" I LOVED that car. Wish I still had it. That sucker would plow through anything when everyone else was stuck!!

Reply by Leon_CO on 2/8/06 10:56am
Msg #95421

Re: Leon: I had a 72 VW Superbeetle....

**"poor man's 4WD" I LOVED that car. Wish I still had it. That sucker would plow through anything when everyone else was stuck!!**

Exactly. Mine is a Super Beetle too. I've had it for 16 years. Rebuilt engine. Plan to keep it forever.

Reply by cmd_NH on 2/8/06 11:05am
Msg #95423

Re: Leon: I had a 72 VW Superbeetle....

Hang on to it as long as you can....I am sooooooo jealous! Didn't even mind that the heat wouldn't shut off in mine...EVER!

Reply by ReneeK_MI on 2/9/06 5:09am
Msg #95726

Really interesting theory there, Shane - that's a pretty remarkable observation and my interest is piqued.

I wonder if the demographics play a dynamic part - this is just mental meandering, but I wonder if one end of the spectrum reacts negatively to signals of 'wealth', while the other end reacts in a more positive light. To some people, these signals equate 'credibility'.

Much the same way as some people equate a high price tag with 'quality', and other's equate it as 'rip off' kind of thing?

Still - the recission rate of the closer you're discussing leaves me wondering what else could have factored into this. My knee-jerk reaction was to consider the possibility that she was leading borrower's elsewhere. Knee-jerk, as I said, but I'm thinking you know her and know that to not be likely?