203k consultant wannabes

Now and again you get a consultant that decides "why should I pay for training", "I can figure this out all by myself". 

1) HUD says you are supposed to have training - reason #1
2) HUD says it should be at least a 15 hour course - reason #2
3) You have a learning curve that training will shorten and correct your misconceptions. Yahoo
4) Anyone who tries to reinvent the wheel thinking they are going to save money on their training is an idiot. The training is just that, "training" so you don't screw up the first time you do one.

Just got off the phone where a new consultant just quoted $150 + mileage for a full consultation. That isn't going to happen. We consultants haven't had a raise since 1994 It might actually be a "trip fee" but in the end there will most likely be a full $600 fee plus mileage on top of the $150 already charged. It is so sad when this "bait and switch" mentality raises it's ugly head. 

I had one a couple years ago that I had quoted right off the HUD guideline at $800 versus another consultant who charged $350. The borrower was really angry that I didn't tell her that his $350 was a trip charge on top of her $800. Of course, I had no way of knowing this in advance but she thought she was going to save money and in the long term she ended up paying $350 more than she would have had she used our services.

This happens in about 50-75% of the time with new consultants that don't know the ropes and are just trying to figure out how to make money with 1994 pricing. I think it is a terrible way to do business and we will continue to provide our fee schedule openly and not "Hide costs" to be billed later.