|
Organization Affiliation
|
BrutallyHonestLoans.com is the personal website of Arturo Franz, Sr. Real Estate Financial Consultant, affliated with Milestone Mortgage with headquarters in Manhattan Beach, California.
Milestone is a well-established company based in Southern California, operating three years in Redondo Beach then more recently to its corporate office in Manhattan Beach, CA in the beautiful Manhattan Plaza. Milestone also maintains branch offices in Rancho Palos Verdes, Downey, San Francisco, Concord, Los Angeles and Marina Del Rey CA, Las Vegas, NV, Phoenix, AZ and Magnolia, TX, Nashville, TN and Sunnyvale, FL.Milestone Mortgage staffs 268 employees, 243 professional sales team with a support staff of 27. The company’s primary focus is originating purchase money Conventional, FHA and VA loans, working with Realtors, Financial Planners, Builders and referrals from our past clients. Milestone offers a superb working environment with state of the art technology, training and marketing support to meet the needs of our referral partners, staff and clients. Internal operations of the company include loan originations, processing, underwriting, loan documents, funding & closing, accounting, marketing, HR and quality control departments.
Under the guidance of Richard Thomas, President & CEO, Milestone Mortgage has increased its size and funded loan volume from $11 million in 2000 to over $400 million in 2006, with revenues inexcess of $5 million. Milestone Mortgage is on pace to fund $550M in 08 with projection to exceed $1.4b in 09.
|
|
|
|
Contract With Client
|
|
Mr. Franz does not employ "exclusive agreements" with customers. However, Arturo utilizes full disclosures on all fees and honor all fees. If there is a change in the fees or terms, Arturo notifies the client in advance and obtain a new approval with authorization & disclosures.
Mr. Franz provides his clients with a minimum of 3 mortgage options to be considered. All options are explained in terms of upside and downside risks. The client is free to chose which loan they want.
|
|
|
|
Technology Employed
|
|
Mr. Franz utilizes an On-Line application process which is linked from BrutallyHonestLoans.com to the Milestone Mortgage operating system. Depending on the client's computer system, knowledge of the internet and software applications, Arturo can forward all documents by "PDF" files, including updates. Because many lender are moving to a "paperless" system, those clients which have "scanning" feature in the print devices will be able to email their information, thus speeding up the process. Milestone Mortgage is a paperless mortgage broker. The only original files keep under lock & key are the original "WET SIGNATURE" loan application and disclosures, as required by law.
|
|
|
|
Locking Procedures
|
|
2009 Update: Strongly recommended 45 Lock Periods due current
lender constraints in processing.
Arturo does NOT lock loans without the client's authorization. Generally, lock-in decisions are made in consultation when the client has submitted a signed loan application with disclosures on fees, etc., All rates are PAR rates unless otherwise disclosed. A PAR rate means "no rebates or extra fees" to the loan officer.
The client is advised on a daily basis and they select their "interest rate" based on the current market conditions and a mutally agreed time period. If more time is required, the client is advised of the additional fees needed for an extension of time.
After locking, Arturo will continue to "shop" additional lenders, especially if the interest rate market improves by at least .25%. Arturo will contact the client and recommend proceeding forward with a new lender.
|
|
|
|
Third Party Fees
|
|
For Refinanced Loans, Arturo has discounted fee arrangements with Escrow and Title which are passed on to his clients which are extremely competitive. Clients usually accept his arrangements, but on occasion, some clients would prefer that he shop 3rd party fees. Refinance clients always have the right to choose their escrow and title company. In purchase loans, Escrow & Title are selected by the seller's agent and Arturo acts as a "watch dog" to ensure that these fees are reasonable, customary and usual. If they are not, I notify the client and assist in the process of re-negotiating lower fees. Arturo always shop appraisers based on fees, qualifications and knowledge of the local area and request "complimentary value check" on purchase and refinance loans to determine if loan to value will be a problem. Appraisal fees are disclosed upfront and clients are requested to pay the fee at the time of the appraisal inspection.
|
|
|
|
Broker Fees
|
|
Arturo will not negotiate any fees upfront without a thorough "upfront" evaluation of the clients needs for a mortgage loan. Once loan qualification and pre-approval is feasible, Arturo, will always disclose broker & lender fees. Once explained, disclosed, accepted and signed by the client on the "good faith estimate" these fees remain "LOCK" unless there is a major change made by the client in the loan conditions. For example, the initial loan is for $15OK cashout and now the client want to change it to $200K.
If there is a major increase of more than 5% of total fees from the intial loan application, Arturo will analyze where the changes occured and if there is an adjustment in either broker or lender fees, these changes will be disclosed and client approval will be requested, in advance. When the client signs the final loan documents @ closing...there should be NO SUPRISES!
Arturo's broker fee run between 1.25% to 2.50% depending on the size, type and complexity of the loan. Effective 1/1/10, Mr. Franz's minium broker fee is $ 2875 for loans under $1OOk. Effective, January 1, 2010, for FHA Loans, a range of 1.5% - 1.75% origination is charged depending on the complexities on the loan. Again, all fees are negotiable. The client is "Free to Chose" how these fees should be paid, whether as a cash-to-close or added to the loan amount.
|
|
|
|
Bio
|
|
As a Sr.Real Estate Financial Consultant, I think of myself more as a “Mortgage Advocate” providing an array of services in real estate financing and consultation. I advocate for my clients, as if it was a loan for me…looking for the best type to meet a particular individual’s need. I provide my prospective clients with a least 3 different options, so they can decide which loan is best suited for them. My advocacy is rooted in the idea of empowering folks like yourself in understanding the mortgage loan process. I believe that “An informed client become an excellent long term and trusted Client.” As a loan officer, I am required to be a licensed real estate agent, having been licensed since 1984 with expertise in mortgage lending for the last 10 years. And prior to that, for over thirty years, I was a health care executive responsible for a variety of health related real estate projects in the development of comprehensive health care centers, medical clinics and several senior citizen centers. In 1982, I was appointed Chief Administrator, Health Services for the Games of the 23rd Olympiad, responsible for organizing medical services for the Olympic Games. In 1992, I was similarly responsible for medical operations to World Cup USA ‘94 for the World Cup Soccer Games
|
|
|
|
|
