For a lot of very good reasons, senior housing/healthcare borrowers rarely chance sending information to lenders that they know to be inaccurate.
“But,” says Cambridge Realty Capital Companies Chairman Jeffrey A. Davis, “it’s not uncommon for borrowers to submit data that’s incomplete, which can lead to unwanted problems.”
Cambridge is one of the nation’s leading senior housing/healthcare lenders, with more than $5.5 billion in closed transactions. The company consistently ranks among the top ten FHA-insured HUD lenders in the country.
“Lenders are often asked to deal with projections, and these projections can get very aggressive. But it’s never a good idea for borrowers to fudge, not even a little bit,” Mr. Davis says.
“Borrowers applying for a popular HUD funding program in today’s market are finding that accuracy and attention to detail is not an option,” he added.
From the lender’s perspective, Mr. Davis points out that accuracy and timing issues are more important now than ever.
“It’s important for borrowers to carefully and pragmatically review the checklists provided by their lender to make certain that all the information bases have been covered. The guiding principle in this endeavor is that more is better than less.”
Mr. Davis says long-term relationships with lenders are predicated on the assumption that borrowers will provide accurate and reliable information when applying for a loan. From the borrower’s perspective, long-term relationships are important for many reasons, but mostly because they make the outcome of any loan application more predictable.