Ultimately your lender must approve the consultant. We get quite a few loan leads and send them to the lenders who use us of coures. It insures some loyalty and it completes the circle. The borrower quite often doesn't pruchase a house every day so they need a consultant to guide them through the forest safely. That is about what we do for our clients.
We meet with the client and go over the paperwork pointing out a number of things that other borrowers have had difficulty with in the past. That saves the client from having to learn under fire. We believe as do our lenders that the best client is a well informed client who knows just what to expect and we all can enjoy the process together.
I recently had one of my lenders ask me to take over the 203k draws from another consultant only to be shocked that the contractor and borrower had no idea what was expected of them during the process. I merely stopped and went over the procedure with them so from there out they were informed. There are many consultants that fall short of "consulting" and that is a shame. It makes for an uncomfortable process for all involved. It is easier in the long run to take that time and go over the forms pointing out the fact that there will be a 10% hold back on each draw, they never read what they are signing so on the first draw taking over someone else's project just read to them the paragraph before their signaure. Or, you can print out the "instruction" page of the draw request. The instructions are actually pretty good and save so much time when the borrower and contractor are on the same page with us.
The borrowers these days are so much better prepared than back in the 90's and quite often will do their homework and find a consultant. In that case we take them to a lender if they don't have one but it all starts with getting them pre qualified for the loan amount they are looking for. In a few cases they find the house and then the consultant, and then the lender. But in the overwhelming sceme of things the lender is the first step.