It's become more important than ever to depend upon reputable mortgage professionals. The booming real estate market has led to dramatic increases in the volume of loans, enabling an increasing number of loan professionals to assist consumers with their financing needs. Unfortunately, not all of these individuals are scrupulous, which ultimately results in higher costs for everyone. These lenders are popping up everywhere! Half of all defaulted loans and 25% of all foreclosures are thought to have been obtained through misrepresentation. State regulators are planning to create a national registry of mortgage officers who play fast and loose. Also, Digital Risk is developing a computerized database search system to accurately profile applicant income. With the FBI's financial crimes investigation team increasingly on the prowl, it's important to rely upon quality financial advisors who will provide you with the best possible options and steer you clear of any fraud. Your REALTOR can help you find the right lender. They have experienced both good and bad lenders and know how to avoid having a purchase fall apart. If it sounds too good to be true, it probably is! Don't fall into the trap! How long have they been licensed? Here in Missouri, an individual can obtain a mortgage brokers license by completing an application and showing proof he/she can post a $100,000. surety bond! A minimum net-worth is not required. Education,expetise, reliability, product knowledge...all NOT required! Be WARY! Look for a local lender that uses appraisers that are local too! Get a Good Faith Estimate of the costs for the type of loan you require before going forward. Ask if the underwriter is "in house", which is important, if a question comes up and you need to get an answer quickly. Will they bring a check to closing? Will they wire the required funds a day early? Do they attend the closing? Are they a member of the Mortage Bankers Association (MBA)of St. Louis?