| If you are a commercial loan originator you | | | | Or if you're working on a deal and not |
| know how vital it is to protect your fee and | | | | expecting to get any YSP from the bank and |
| your livelihood. Commercial broker fee | | | | you're depending on the borrower to |
| agreements are vital to your ongoing | | | | finally sign that fee agreement, after they |
| success.  Nothing hurts quite like going | | | | know who the bank is and what they are |
| through the entire process of underwriting a | | | | offering, is also a seriously weak position |
| commercial mortgage all to not get paid the | | | | to be. You're basically asking them to |
| fee you deserve.   | | | | screw you. In all seriousness you're |
| | | | putting them in a position of real trust and |
| We have learned this lesson the hard way. | | | | if your relationship isn't rock solid they |
| And have had loans where we didn't get paid a | | | | will be asking themselves "why do I need |
| dime, only a portion or had to get a lawyer | | | | broker Joe? I've heard of xyz bank. I |
| involved and go through a long and painful | | | | just didn't bother to call them. I'm |
| process to get paid. | | | | paying him how much?" |
| | | | |
| Have you heard a lender or bank say something | | | | Your commercial broker fee agreement is |
| like "well we don't really have a formal fee | | | | basically your shield and armor (if that |
| agreements with brokers, but we'll pay you a | | | | isn't too corny). It will protect your |
| point outside of escrow"?  If the hairs | | | | time and assure that you will make it in this |
| on the back of your neck don't stand up, than | | | | business. By presenting your agreement it |
| you haven't been screwed yet and are probably | | | | will also set you apart as a professional and |
| are just getting started as a commercial loan | | | | clients will recognize that you know what you |
| broker. | | | | are doing. You will earn their respect. |
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