- A look into the job of mortgage consultation
- The importance of spending quality time with your clients.
- How to find your free credit report.
- Misconceptions about how much income is needed for a mortgage.
- Budgeting your money for a home.
- The importance of having a clear vision.
- Preparation for homeownership
- Misconceptions about income
- Look through your bank statements for overdrafts.
- Cell: 843-442-9970
- Office: 843-416-5040
- Contact Number: 843-619-3005
- Instagram: https://www.instagram.com/exitstrategiesradioshow/
- FB Page: https://www.facebook.com/exitstrategiessc/
- Youtube: https://www.youtube.com/channel/UCxoSuynJd5c4qQ_eDXLJaZA
- Website: https://www.exitstrategiesradioshow.com
- Linkedin: https://www.linkedin.com/in/cmelette/
- Email @: corwyn@corwynmelette.com
Filling Up The Homeownership Bucket with Jennifer France
CORWYN:
Good morning, good morning, and good morning guys. Welcome to another fabulous episode guys of Exit Strategies Radio Show. Hey, I am your host, Corwyn J. Melette. Broker and owner of Exit Realty Low Country group in beautiful, North Charleston, South Carolina. Hey, if it’s your first time listening to the show you Sir or Ma’am, are in for a treat. That is because our mission is very simple. Yes, very simple. To empower our community through financial literacy and real estate education. So, guys, we’re legacy building, that’s what we do, we always tell you to put that hashtag on that thing that you’re doing to say that you are doing the same and that is building the legacy for your family, family for generations, and generations yet to come. So, guys, we’re super excited today, as you can tell, so I am very, very– We’ve been out here making the moves and mixing and stirring and stuff. Look here, I feel like the baker, the baker’s man, you know, there used to be a little nursery rhyme with that. Patty cake, patty cake, baker’s man, bake me a cake as fast as you can. Y’all remember that? Some of your old folks were youngins know nothing about that. Because y’all doing some other stuff now. But look, we have been mixing, putting together quote-unquote, our best cake. And today, guys, we have the secret ingredient. That’s the Mo Money. That’s what we got. So we have with us today. Very honored. Thank you so much for taking your time today. Jennifer France from Primary Choice Lenders. Jennifer, how’re you doing today?
JENNIFER:
I’m doing great. Thank you so much for having me. I appreciate it.
CORWYN:
You’re welcome. So Jennifer, tell our listeners a little bit about you. Because see, I know you we been known each other. But tell our listeners about you, who you are, and what you do.
JENNIFER:
Okay, so I’m Jennifer France, a mortgage consultant. I’m the broker and owner of Primary Choice Lenders. And I’ve been in the business for going on 18 years right now. So it has been a while since I’m in the business. And as you can tell I have a beautiful accent. Everyone always asked where’s your accent from. My accent is from the Virgin Islands. I moved to the US about 20, 24, or 25 years ago from the Caribbean with a husband and children and we moved here we settled in South Carolina, beautiful South Carolina. I mean, there isn’t a place nicer than South Carolina. I must say that. So, here we are. And like seven– about 18 years ago I was introduced to mortgage lending and fell in love with it. So I have stayed with it. When the market was high when the market was low, and when things were going a little bit sideways. I’ve stayed with it because I love what I do.
CORWYN:
That is awesome. So there used to be a sign there was nothing finer than livin’ or something in South Carolina. So that is interesting because I think you came during that period when that was the model or the stage. So Jennifer, you, again broker and owner. So first of all, congratulations. You know, on that change, I know that you guys recently completed it. So again, congratulations on that. Tell our listeners if you could, you know share, like mortgage lending, you know, and things that you tell consumers because obviously, my imagination says– Please, I guess correct me if I’m wrong in his thought process, but you made the decision, quote-unquote, to open your own company because you want to be able to serve people better and serve people the way that that you know that you can serve them. Is that a fair assessment?
JENNIFER:
Yes, yes. Great. Yeah, um, you said to talk about mortgage lending and the first thing I dropped in my mind when you mentioned mortgage lending is the fact that so many people want to buy a home, a house, right? everyone wants to own a house. And that’s not a bad thing, you know, it’s the American dream and we all, you know, as much as we can we shoot, right? On the flip side, walking them through that process, becomes so complicated and so stressful and so scary, right? A lot of people, either fall away or ghost us, you know because they do not know what to expect when they decide to purchase a home.
Right? And I believe that this is the first place that we should start as realtors, and mortgage consultants, the first place we should start is with education, education. Whenever someone approaches us, the first thing should be about education.
CORWYN:
So what is your process for, you know, introducing someone, let’s say that is, you know, thinking about, you know, wanting to purchase a home, whether it be a primary residence or investment, you know, what is like those first steps that you normally take with them?
JENNIFER:
Okay, so for someone brand new, never owned a home before, they just, you know, they’ve heard it somewhere their friends have bought a home and they want to buy, right? The first step is you have to spend that quality time with your client. I call it quality time. Right? Okay. And is teaching them? Okay? It’s not just the fact of, okay, I want to buy a house. Right? I want to spend time with you to help you understand that certain things have to be in place before you can even get to maybe applying for a loan. Right? We have to teach them about their credit. Right, we have to teach them about the rates, because so many people are interest-rate driven, you know, people call, what’s your rate? What’s your rate? What’s your rate? Okay, well, my rate may not be your rate, right? So, you know, these are– this type of education that we have to give, you know, potential clients, whenever they come to us, we have to teach them, Hey, have you ever owned a home before? Right? Do you know what your credit score is? And you can be so surprised that so many people don’t even know how much they make an hour. Right, so they can’t even discuss what their income is. Right? A lot of people do not have bank accounts. And that is essential as well when you’re buying a home. But these are, you know, the areas where we have to start. I mean, not everyone, but quite a few people, you know, need that type of support and that type of help. Right. So I’ve seen where I have, you know, again, educated customers, you know, folks have made a good income, this is South Carolina, we live very well in South Carolina. So a lot of people are able, you know, financially, you know, to buy, but they’re just not ready when it comes to credit. Right. So I have seen where I in the past, I have, you know, educated and given this advice, and whatever. Now, if the person who takes the advice, accepts, you know, the advice, they leave your office, and they go ahead and work on what you advise them to do. And then a year later, or two years later, they might come back, maybe even forget that individual, but here they are because nobody already. Right. So that is the essential first step is educating our borrowers and letting them know, Hey, your credit score needs to be at a certain number. And you know, what your credit score is? Do you know how to find your free credit report? Right? annualcreditreport.com. It’s a free service, I think everyone should go to that website, and pull up their credit report to see what is reporting on their credit report. Because again, so many times customer says, Oh, I never knew this was there, or this is not mine, or that is not mine, but it’s there and it’s affecting you. Right. So if anyone is under the sun. The first thing, even before you approach a realtor, even before you approach a loan officer, is right, pull up your credit report, see what it is, see what’s there. If you want to get your credit score, you could pay for it, and you’ll know exactly what your credit score is. So that’s the very, very first step. And it is so critical. That you know I can’t emphasize it enough the importance of knowing what is on your credit report, because what is on your credit report could either make or break. You know, that’s your dream of purchasing a home.
CORWYN:
You know, that’s fair, you know, I recently was having a conversation with someone and you know, asked the questions about you know, where they are, you know, payment wise and stuff, they have a vehicle payment, you know where the vehicle payment is, and you know, everything is hunky dory. But you know, when the credit was finally pulled, it was and they were late on it. And I think that sometimes the missing piece is well, the situation from what I’m gathering now is that they have made payments recently. But it hadn’t been reflected on the credit report because they were delinquent, but they make payments and caught up. But a credit report reflected the status and consumers sometimes think because that was a conversation. They think that when it reports automatically, you make the payment today, and it automatically shows up in your credit report that you made a payment. That’s not how that works. There are cycles, right?
JENNIFER:
Right. Exactly, And also some customers, they, you know, going back to what you just said, they may be delayed two, three times late on the car payment, right? Just car payment, credit card, whatever. And, you know, they make that one payment, and they think that it’s okay, oh, I just made a payment. Yes, but you have to pass your payments, you have an outstanding balance. So even if you make that one payment this month, you have two outstanding payments, that are still affecting your credit score. Right. So to help your credit score, you have to get caught up on those past few accounts and then make your standard monthly payments to build up your score.
CORWYN:
So you dropped in some, some jewels and some nuggets because there’s a tremendous amount of misconceptions as it relates to credit, credit reporting, scores, all that kind of stuff, let alone and you talked about, you know, people calling you about rates and stuff. You know, I mean, you know, people in the industry understand how they fluctuate, how that stuff works. The average consumer has no idea and they’re trying to play, you know, it’s like trying to play roulette with a, you know, a moving target, because that’s really what it is. No focus on wherever you’re going to focus and aim, shoot, or aim. Or hold on, shoot, fire, aim, whatever that is, you know, backward, you know, but let’s talk about, you know, those misconceptions otherwise, that you’re running into as far as people and their credit or their situation overall, let’s talk about income. What about what income can misconceptions are you, have you run into recently? \
Uh oh, I see. I see that. That’s like, oh, yeah, I got a doozy.
JENNIFER:
Okay, so we know the market that we’re living in right now. For you, we know that as of last year, somewhere around May, we had a little bit of a crazy, I should say, period, right? Where property value just went, you know, a little wild, right? So everything in everything is now pretty expensive. We have seen a little bit of an adjustment, but not to where, you know, a lot of people could afford, let’s put it that way. Right? So that misconception is not only now, it’s from ever since I’ve been doing mortgages, right? This is just a standard thing. Where I mean, there is nothing wrong with making $15 an hour, there’s nothing wrong with making $10 an hour, don’t get me wrong, that’s fine. That’s where you are, that’s fine. But if you’re making $15 an hour, and you came to get pre-approved for a loan, and you know, hey, you could only afford 100,000 or 150. Don’t get mad at me. You know, I’m not trying to disrespect you. I’m just trying to show you and educate you on where you are based on your finances. Right? It’s all about finances. So sometimes we may ask it, hey, do you have a co-borrower? Is there anyone a parent or co-workers, not a co-worker, but a parent, a spouse, or whatever, you know, to help get you to that 300,000 that you want to buy? Right? And, you know, sadly, a lot of people get offended when you tell them exactly what they can qualify for based on their income. Right? Now, if you’re making $15 an hour and you have a $600 payment it’s just not gonna happen, because there is nothing right now in our area where I could tell someone, hey, you know, you could afford this 100,000 And then they go to that neighborhood. And it’s, it’s not livable. 150 may not be livable either. Right. So, you know, customers, they have to understand where they are. I remember when we bought our first home years ago, I will always give that story. We bought our first home for $75,000. 75,000. Right, Ramstein, bricked, three bedrooms, two baths. I mean, we had to go on, right?
CORWYN:
That’s good stuff, that’s good stuff. Yeah, like, it’s like, you hit the lottery, right? Like,
JENNIFER:
I, I just got into America, two years later here, and I’m buying this house, hey, I’m a homeowner, hey, you know, I’m living the American dream. But if I qualify someone for 75,000 today is pretty much a funding source. Because you cannot get anything for 75,000 It’s not gonna.
CORWYN:
So you talked about, you know, co-signing. And this is something you know, I think that sometimes people miss. So yeah, you may get a cosign so you can qualify for more. But that doesn’t lower the payment that you got to make on the house. So if your money. And I ain’t gonna call it budget, because you know, people don’t like the B word, that’s blasphemy. They don’t like the B word. Your money won’t let you pay $2,300 a month for a mortgage, getting a cosigner so you can qualify for 300 and change 300 or so $1,000 mortgage ain’t gonna make that 2,300 All the payments come down to be $700 a month, it doesn’t happen. We got to, you know, we keep talking about, you know, I always have this conversation around here, about real estate not being common sense. You know, common sense says you can do this, but real estate says no, all you have to do is this way. Right. So, that’s what they think. They think, well, you know, I can afford this. My income is this, I’ll get a cosigner so I can qualify for more, but my payment is still gonna be based on what you can put the payment down and what I want it to be. He turned his whole desk, and table over the TV off the wall, what? That’s not how that works.
JENNIFER:
And a lot of times what people do is, okay, well, you don’t have enough income here. All right, I’m gonna get a second job, and they leave your office and they go for a second job. Right? No, we cannot use that income, it has to be two years on the second job, right? To use two incomes. Right. So we just want to make it clear, it has to be two years. Another thing I’m calling is that a lot of times, you know, you look at the credit report, and I’m like, like you said earlier, you may ask someone has ever been late on your credit card. Or have you been late in the past 12 months? And you always get no. But once you pull the credit, it tells a different story. Right? So here we are, and you haven’t made a $25 payment on your credit card. But you want to get a mortgage for $2,500 a month. Right? So we have something called underwriting and I tell my customers Hey, I may tell you one thing but my underwriter, they have the vision and the eyes that I do not know where to get it, where they see, what they see, and how they see what they see. Right? But these are some smart people on the writers. Okay? So it will look good to me but once it goes to the underwriter here you are three times late or 90 days later, whatever and it’s not going to work, right? It’s not going to work. So it is very important. There must be a purpose in what we do. Okay, there must be a sense of purpose. So if anyone out there is thinking of buying a house, you’ve never purchased a home before. Get a folder, and get an envelope. When you get paid stick your pay stub in there. Get your W2, and stick in there. Get your bank statements, please get your bank statements.
CORWYN:
If I can add one thing to that, I need you to look through your bank statements, and if you see anywhere where it says the word overdraft, I need you to put that bank statement back where you got it from and wait for the next one. If it says anything about overdraft. Don’t you give that to Jennifer, don’t you do that.
JENNIFER:
Do you know my customers give me that bank statements with a negative balance?
CORWYN:
Hold on, I almost fell out of my chair, hold on, let me get on back. Look here, I almost threw my hands about to throw slaps them on the floor, I mean what?
JENNIFER:
I mean seriously, you have a negative balance and you want to buy a house, you know, I mean, seriously, these are things this is where the education comes in. I mean, it is so important. You know that everyone who’s listening, everyone who’s hearing that they understand, you need to do a home inspection, you need to do an appraisal, you need to have earnest money, you need to have down payments, you need to have closing costs, all these things add up. Right. And if you have not saved any money in the past, and you are thinking of buying a house, now’s the time to start. Right, you have to start somewhere to start building your profile to qualify for a mortgage
CORWYN:
You know, and so you that’s priceless. You know, people, you know, it’s impressive to me, and this kind of goes to what I was just kind of talking about a moment ago about the common sense part, see, some people got too much sense. And, you know, the way they approach a transaction or what have you, you know, really and truly completely differs from the way it should be approached, you know, people wanting to buy a house with no or no money, you know, you know, no, I mean, granted, I’m not saying you got to have, you know, $100,000 to buy a house, but at the same time, there’s certain expenses and fees related to the process to a transaction that you have to be able to cover, and I’m approaching you, they also need to be able to verify that they have assets, whatever those are, right, so you can, then okay, this and then you got to have an income. Because you’re buying a home and expect to have if you fully document let me put it that way because there are programs that kind of, you know, get us off into some other stuff. But if you don’t afford that documented loan, you got to have an income, right?
JENNIFER:
Yes, absolutely. Absolutely. You need to have that income, you need to have that credit, and you need to have assets, right? So, as I said, there are programs there are down payment programs, right? So, keep in mind that you may get downpayment assistance, but keep in mind that your interest rate under your downpayment assistance is going to be higher than if you did not get any downpayment assistance, right? So now that your interest rate is higher, that may, you know, reduce the amount that you could qualify for on a standard loan without downpayment assistance. Right. So these are things that we have to look at as well. There are a bunch of programs for self-employed borrowers, you know, that they are, they are the cream of the crop there, they are people that we love self-employed. So we could do bank statements for them, we could do 1099s for them, we could do their tax returns, you know, these types of loans for them. We have individuals who. Anyway, so we have to, there are so many different programs that we have that we could help someone, for instance, at Primary Choice Lenders being a broker, now, it’s pretty hard not to be able to qualify someone for a mortgage. Right? If someone approaches me and they have, so to speak their ducks in a row.
CORWYN:
And see, that’s important. That’s very important. Because again, as you said, going back to what you started with is that people have to start getting everything together. Let’s get this to get this in order, this in order so that when it’s time to deliver all that stuff to you, you’re ready, you got bank statements, you got the tax returns, you got pay stubs, if that’s how you get paid or if you’re on the other side, where you may be self-employed, maybe doing a state program or something, bank statement program that you have those you have all the other information that you need to provide. So that in turn, you are ready to proceed forward. Yes. So, Jennifer, we have quickly got to what I call the towards the I don’t want to call it the end because it’s never the end but towards well, I guess we’ll say the end of today’s show. Tell our listeners how they can reach you. How can they get in contact with you?
JENNIFER:
Okay, so um, there are two ways. So we have our website, Primary Choice Lenders primarychoicelenders.com. That’s our website, so you could reach us online. And then you could also reach me on my cell phone, which is 843-442-9970, or at the office, which is 843-416-5040. So, my email as well as jfrance@primarychoicelenders.com. So there are several ways that you know anyone interested in getting a home or knowing more or trying to get help, right towards purchasing a home or getting ready to purchase a home, then you could meet me, or you could reach me either by email, or website.
CORWYN:
Awesome, awesome. And for our listeners, guys, Jennifer’s right by our office. So if you know where our office is, Jennifer’s right upstairs, she is within, quote-unquote, a stone’s throw. Y’all please make sure y’all come by and see or check her out. And most importantly, y’all come and get some help and assistance we are oftentimes at the well with too many buckets that don’t ask for help. And Jennifer is here to help you with your buckets. You trying to get your homeownership bucket right. She is here for that. She gon’ tie it up and she gonna drop it down and then get you the water and then bring that thing on back up for you. That’s what you do. All right. So Jennifer, thank you again, so much for being on the show. Thanks for being part of a strategy radio show family. I greatly appreciate it.
JENNIFER:
Thank you so much for having me. I appreciate it.
CORWYN:
You’re welcome. So our listeners, guys, y’all know how we do you know how I feel, you know what I say? And today we’re gonna put that altogether because we’re gonna continue to make some make this cake over here. And we’re going to tell to you like this. We’re going to tell you, I love you. We’re going to tell you, I love you. We’re going to tell you, I love you. And we’re gonna see you guys out there in the streets.
