Where's the beef? PDC Mortgage Watch July 2008-

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With regards to mortgages for foreigners in Mexico, and since most of the mortgage products in existence today are pretty similar in context and content (Interest Rates and Terms), one thing comes to mind when determining which mortgage product to use, or which bank or mortgage broker to apply through ,and that is; WHERE IS THE BEEF?

"Where's the beef?" is a catch phrase best known in the United States and Canada, and since it was first used it has become an all-purpose phrase questioning the substance of an idea, event or product.

It first came to publics attention in a 1980’s U.S. television commercial as part of an advertising campaign for the Wendy's chain of hamburger restaurants. Several advertisements using the catchphrase appeared before the right performer caused it to take off. In the ad, titled "Fluffy Bun", elderly actress Clara Peller, receives a competitor's burger with a massive bun (the competitor's slogan was "Home of the Big Bun"). The small patty prompts the gruff Peller to angrily exclaim, "Where's the beef?" Peller's memorable character soon gave the catch phrase a life of its own, and it was repeated in television shows, films, magazines, and other media outlets.

And the answer to the question is: The Beef is in The Service, The Experience and The End Result.

It is surprising to see the level of control the Developer and/or Realtor has over the mortgage process in our market.  I can just tell you that I have seen it all.  From the Big Developer with the $4,000,000 USD beach front property wanting to get a preferential rate for his clients, to the small developer and/or realtor trying to bring down the closing costs for the $150,000 USD property.  Both of whom are missing out on the most important factor in obtaining a mortgage, the borrower’s qualifications.

It is like they are looking for a “One Shoe Fits All Product”, which in essence doesn’t exist.

It is my personal experience that all of those One Shoe Fits All Product advocates are the ones that struggle the most in moving their product.  And those that leave the work to the experts, are most successfully adjusting to the new trend of mortgage financing in the Cancun, Playa del Carmen, and Riviera Maya area.

The first ones have failed to understand where the beef is in the mortgage lending business:

The Service: The level of service provided by the mortgage broker executive.  This is critical, since the initial contact with the client is important. Establishing a good and trustworthy relationship between the lender/mortgage broker executive and the actual client is critical. Since a lot of confidential and sensitive information gets shared by the loan applicant, he/she must feel secure of its confidentiality.  That is not only key, but a fundamental aspect of the loan application process.

The Experience: Knowing how to ask the right questions without intruding into the privacy of the client, or making the mortgage loan prospect uncomfortable over providing that sensitive information required for the approval of the mortgage loan.  Learning how to read the client/borrower, understanding their concerns and providing the best option available to the mortgage loan applicant, is something you learn through extensive practice and experience.

The End Result: Closing the loan - Many factors may appear that may influence the final closing of a property.  Knowing the closing process inside and out, does not only facilitate the closing of the loan, but permits the Mortgage Broker to provide a “hassle free “closing. This allows him to ease the process for both the Buyer and the Seller, as well as the Notario, and all parties involved in the transaction. The End Result (the closing of the property) is the final outcome everyone wants to obtain out of the whole process.

So, when considering which lender to refer the client to, the developer/realtor mustn’t lose focus of the importance of the whole mortgage loan process.  And when asked WHERE IS THE BEEF?, in the mortgage loan process, just remember that The Beef is not in the interest rate charged by the lender; the closing costs involved in the transaction; or the points or commission charged by the lender/ mortgage broker, which are pretty standard with all banks and mortgage companies in the industry today, The Beef is in the “Hassle Free” Closing of the Transaction!!!

Note: By the way, with regards to the last article in which I was given the challenge to follow up with a new client, I did contact the client, had an initial response, but I have not heard anything else from the client since.  I just wanted to make that clarification since many local developers and realtors we are working with have responded to us in regards to the fact that we are good at following up with referral clients. 

This article is provided by Enrique (Henry) Saldana – Mexico Mortgage Solutions (in Mexico)/Advanced Mortgage Inc. (in the USA)   Cellular: (984) 116-8528; BlackBerry/Cellular:  (998) 147-8936 This email address is being protected from spam bots, you need Javascript enabled to view it   PIN: 20SFCC65 This email address is being protected from spam bots, you need Javascript enabled to view it ; www.mxmortgagesolutions.com   We are available at all times; 24/7-7 days a week. You may contact us with any questions you might have with regards to National Mortgages and Non Resident/Foreign National’s Mortgages.

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