As a mortgage agent or broker, one aspect of your relationships deals with your clients, but equally as important are your relationships with the real estate sales professionals involved in the deal (either as a referrer or simply as a participant), your lender who will ultimately fund your deal, and the real estate lawyer who will close the deal.
In fact, the level of service you provide to your client often depends on the fluidity of these relationships. All three types of professionals will perform due diligence when working on a file, both as it relates to the buyer and also as it relates to the property. Alignment here is key.
With regard to the aspects that relate to the title of the property, such as the property’s legal description, items registered on title (i.e. mortgages that will need to be discharged), and liens and legal homeowners, this information will often be independently reviewed by all sides, while things like value will often be validated by the real estate sales professional, broker and lender.
Alignment is critical because, if there is a weak link in the chain or discrepancies arise, this can derail a deal, resulting in an immense amount of time and expense wasted by all those involved in the transaction. This can leave the client feeling frustrated and disappointed. That is never good for business.
Why do discrepancies occur? Sometimes it boils down to the tools being used to validate information. Different tools derive their information from different data sources. Being unified with the tools that you use is an excellent way to enhance alignment with your colleagues.
Here is an excellent example. POLARIS (The Province of Ontario Land Registry Information System) is the most accurate provider of property related data in the Province of Ontario.
Real estate sales professionals often use GeoWarehouse to perform due diligence, while many mortgage brokers and agents use Purview. Many lenders use Purview and real estate lawyers use Teraview. What is the common denominator? All of these tools are provided by Teranet, with data derived from POLARIS. In this example, all four professionals are aligned, performing their research using the tools that draw information from the same source. In this example, it would be unlikely that there would be discrepancies in information.
Where real estate is concerned, there is no magic equation. Things can and do come up, even at the 11th hour. For example, perhaps a lien that wasn’t registered at the time the process started is then discovered by the real estate lawyer on closing. However, outside of these rare occurrences, with strong alignment most of this risk can be mitigated.
If you’re looking to increase your alignment with your real estate sales professional, lender, and real estate lawyer, you should be using the same data source that they are using. Find out more about Purview by visiting http://purview.ca/.