That being said there really is no excuse for changes at the very end. As the broker you have to deliver on what you say. There is no excuse for not having command of the supply chain from origination to funding. Sure, things will change and pop-up but its our job to let the customer know as soon as it does and to educate them on why the change occured.

If a lender ever pulled a last minute switch on me I would stop working with them immediately and take appropriate action to resolve the matter, up to and including regulatory and consumer protection agency intervention.

So for all of you practicing LO’s and brokers here are a few things that Broker’s can do to control their destiny:

1. Partner with reputable companies. This week’s events clearly show why that is important. Sure the biggest might not have the niche program or screaming rate – but they’re reliable, proven and tend to be more consistent in their role.

2. Fight for your borrowers. Know underwriting guidelines, fees, know how much you can get off a rate by taking it to the secondary department of the end-investor. Push for the pricing to improve your customer’s rate. Call title and escrow, get them to cut their fees.

3. Communicate with your investor prior to sending out the GFE and pricing information. Double check lender fees and rate. Call the lock desk directly and get pricing – have them fax over a lock commitment and keep it in the file.

4. Try to pick a couple of banks and deliver them volume. Don’t spread yourself thin. Volume rules and if you can deliver an investor a consistent level of volume monthly you’ll have more pull in the corporate office getting better rates and lower fees.

However, it’s been my experience that the LO and the Broker are at the mercy of the lender. When I used to work in the industry I saw many occasions when the lender would send docs to the closing agent with inflated rates and fees and then my company would get the blame on it.