Mortgage Quality Control

Written by Sierra Rein
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Mortgage quality control is a cost effective way to minimize potential risks associated with financing, selling or buying a mortgage loan. We often hear about having an independent third party evaluate a potential deal because of the business climate today. With recent financial scandals and savings and loan collapses, having quality control for mortgages is a key part of any loan process.

The Mortgage Bankers of America published a handbook that highly recommended outside reviews of mortgage loans due to the nature of the transaction. Mortgages usually cover a sizeable amount of the purchase price and because of this mortgage lenders should take steps to ensure that all documents are prepared and filed accurately. Having an outside company review all documents can also limit a lender's liability.

The Value of Outside Mortgage Quality Control

If you are considering looking for an outside party to handle all the documents for mortgages then it is smart to compare costs and service. You may have an administrative person that handles the paperwork making $40,000 per year plus benefits and other perks. While this person may process a number of mortgages they would have to finalize one every one and a half workdays to break even with just their salary whereas a third party company will charge a flat rate.

Convenience

If you are a loan officer working hard for new business and trying to make deals you know the frustrations that processing the paperwork can cause. If an assistant is away on vacation or out sick then the paperwork may continue to pile up on their desk, possibly costing your company thousands of dollars. Being able to send off that paperwork to an outside mortgage quality control company could save you deals and earn praise from clients for the quick turn-around time.


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