How to Tell If Your Client's Loan Officer Is Actually Doing Their Job

Hey everyone—welcome back to VA Friyays! 

I know it’s been a minute since my last post, but I wanted to make sure the next one actually delivered real value.

Today, we’re diving into something super practical: How to figure out if your client is working with a solid loan officer—or a not-so-great one.

Whether you’re a client or agent, you’ve probably had a client show up with a loan officer you’ve never heard of, or maybe one you wouldn’t exactly recommend. When that happens, it’s your job to start asking the right questions—questions that help your client see whether they’re in good hands, or if it’s time for a change.

But first, a quick dad joke to lighten the mood:

Why should Marvel use the Hulk for more advertising? Because he’s a huge Banner. 😏

Alright, let’s get into it. These are six questions you should ask your client once they’ve been pre-approved. These help you determine if their loan officer has really prepared them—or just handed them a piece of paper and sent them on their way.

1. “When do you want to be in your new home?” (Mortgage Payment Timeline)

This sounds simple, but it’s key. Their answer sets the entire home-buying timeline, including when they want to close and what kind of offer terms you need to structure.

For example, military families PCSing in September should ideally be closing early that month. That means house-hunting in July, offer acceptance by early August.

If they’re renting? You’ll want their first mortgage payment to start after their lease ends, so they don’t get stuck paying both.

If their loan officer hasn’t helped them backward-plan from that date, your client may be at risk for unnecessary stress, extra rent, or an empty house sitting unused.

2. “Did your loan officer talk to you about your monthly budget?”

Pre-approval limits are not budgets.

Too many clients think that if they’re pre-approved for $800,000, that’s what they should spend. Not true. They might not want that high of a payment—or they may not realize what an $800K mortgage costs every month.

The loan officer should walk them through:

• The monthly payment they’re comfortable with

• How taxes, insurance, and HOAs affect that payment

• How that translates into a realistic price range

If they don’t know this, you won’t be able to narrow down listings or make competitive offers that match both their financial comfort zone and lending capability.

3. “Do you know what your closing costs might be—and how to pay them?”

This one’s a deal-breaker.

VA loans don’t require a down payment, but closing costs still apply. If your client doesn’t understand what those costs are, how they can be covered, or how they affect competitiveness, it’s a red flag.

A good loan officer should be discussing:

• Estimated closing costs

• Whether they can be covered by the seller, or need to come out-of-pocket

• Strategies like using 401(k) funds or seller concessions

• Why paying their own costs might help win a bidding war

No talk about funds to close = potential disaster later in the offer or escrow process or they spend too much time being frustrated on why their offers aren't getting accepted.

4. “Did your loan officer explain the difference between a down payment and buying points?”

While most VA clients won’t bring in a down payment, some might have funds from a home sale or savings. That money can be used in several smart ways:

• As a down payment to lower loan amount (which builds equity)

  • Or can be used to be more competitive in the market.

• To buy discount points and reduce monthly payment (which can be cheaper and more effective)

Your client needs to know their options. A solid loan officer will explain both strategies and when each one makes more sense. Bonus points if they talk about how points can be negotiated into seller-paid closing costs.

5. “Is there anything still pending before you can close?”

This one’s crucial for timeline accuracy. Sometimes, buyers are waiting on:

• PCS or job transfer orders

• A job offer letter

• Graduation or promotion

• Additional savings or document collection

The loan officer should have gone over all of this with your client—and with you. If not, you could end up with a delayed or failed closing. It’s best to ask both the client and the loan officer directly to be sure.

6. “Did they prep you to compete in today’s market?”

Getting pre-approved is like putting on football gear—it doesn’t mean you know how to play. The loan officer’s job is to coach the client on:

• How to structure a strong offer

• How to leverage their finances

• What’s realistic in their price range

• How fast they need to move

If your client hasn't heard any of this from their lender, it’s time to reassess. You can give them the same advice—but they’ll trust it more when it’s reinforced from both the real estate and lending side.

Bottom Line

When you ask these six questions, you’ll quickly find out whether your client’s loan officer is proactive, educational, and strategic—or just punching the clock.

If you realize they’re getting poor service, this opens the door to recommend someone who will give them the guidance they need. It’s about protecting the client, protecting your own reputation, and ensuring a smooth transaction all around.

I go over all of this in my pre-approval meetings—every single client gets a full walkthrough via Zoom before we ever start shopping. It’s part of setting them up for success.

Thanks for reading. If you’ve got questions or need a copy of my pre-approval checklist, just let me know. And hey—Happy Mother’s Day to all the amazing moms out there!

– Nuke out.