That's a good point, but I'm not sure references alone always tell the full story. I've seen lenders cherry-pick their best projects or happiest clients—who wouldn't? Instead, I usually try to dig into how they handle setbacks directly. Maybe ask them about a specific time things didn't go as planned and see how transparent they are about it. Sometimes the way they talk through challenges can tell you more than a polished reference ever could...
Totally agree with digging into setbacks. A while back, I was vetting lenders for a small reno project and one guy had glowing references, but when I asked about a past issue (a delay he briefly mentioned), he got super vague and defensive. Another lender openly admitted they'd underestimated timelines before and explained exactly how they handled it. Guess who I went with... transparency won me over, and it turned out great. References are helpful, but honesty about mistakes is gold.
Totally relate to this. When I was choosing a lender for my custom build, I asked each one about past hiccups. One guy brushed it off completely, kinda acting like nothing ever goes wrong (yeah, right...). Another lender laughed and shared a story about a crew quitting halfway through framing—nightmare scenario! But he explained exactly how they managed it, no sugarcoating. That honesty sealed the deal for me, and he ended up being awesome to work with. Transparency really is everything.
That's a solid approach. I've been involved in land development for quite a while, and honestly, the lenders who openly acknowledge past issues are typically the ones you want on your side. Every project has its bumps—permits delayed, subcontractors flaking out, materials suddenly unavailable—you name it. Pretending otherwise is just unrealistic.
One thing I've found helpful is to ask lenders directly about their communication style during problems. Do they proactively reach out, or do you have to chase them down? A lender who takes initiative to keep you informed when things go sideways can save you a ton of stress. I once worked with someone who was great at numbers but terrible at communication. When we hit a snag with zoning approvals, he went radio silent for days. Not exactly reassuring when you're juggling multiple moving parts.
Another practical step is checking references—not just the ones they handpick for you, but digging a bit deeper. If you know anyone who's built recently, ask around casually about their lending experience. Sometimes you'll hear things that don't come up in formal references or reviews.
Transparency really does matter, like you said. But it's also about how they handle pressure and unexpected setbacks. A lender who stays calm and solution-focused under stress can make all the difference between a manageable hiccup and a full-blown crisis.
Glad your lender turned out to be reliable—sounds like you made the right call there.
That's a good point about communication style—I've definitely learned that the hard way myself. Had a lender once who was super responsive at first, but as soon as we hit a snag with inspections, it was like pulling teeth to get any updates. Ended up causing way more stress than necessary.
One thing I've started paying attention to is how lenders handle smaller issues early on. Like, if they're slow or vague answering basic questions at the start, it's usually a red flag for how they'll handle bigger problems later. Sometimes you can spot these patterns pretty quickly if you're paying attention.
Curious though, has anyone had experience with lenders who seemed shaky at first but actually stepped up when things got tough? Or is it usually a case of "what you see is what you get"?
