How do you pick a home mortgage lender? After all, there are a lot of companies out there. Here are a few things to keep in mind during your search and selection process.
Tips to Find a Mortgage Lender:
1) Know Your Financials
As you start down this road, go ahead and collect various documents that highlight your financial situation. The lender you choose will eventually need to know this, but it will also help you to understand how much money you can borrow, how much you can pay per month, and what your interest rate will be once your lender reviews your financials and issues conditional pre approval.
For example, let’s say you get a quote from a lender. The mortgage rate is a bit higher than you anticipated, so you’re initially surprised. But then you take a look at your credit score and understand that your score wasn’t extremely high, making it harder to get the best rates. Now that you have a ballpark, you can decide what your next option will be.
Another reason this is helpful is eventually you’re going to need these documents. Lenders need a very clear understanding of your financial situation, everything from revolving debt to available assets and income. They want to make sure you’re able to pay the mortgage comfortably and aren’t setting yourself up for failure by buying this home.
2) Do Your Research
Before you talk to a lender, we recommend doing a little research to understand your loan options. This will help prepare you for the first meeting with a lender so you can ask better questions.
For example, one thing you can look into is the types of mortgages you may qualify for. Were you in the military, meaning you’re most likely eligible for a VA Loan? Do you live in an area that is able to utilize USDA Loans? Are you trying to buy a home with a very small down payment, meaning an FHA/Conventional loan is the target?
By already having some initial thoughts before you talk to your lender, you craft good questions to ask.
3) Mortgage Lender Should Be Experienced, Knowledgeable and Helpful
The third thing to keep in mind is that you want a lender who knows what they’re doing. Do you want to trust the biggest purchase of your life to an inexperienced mortgage lender? Even though some people may choose to go that route, we don’t recommend it.
Instead, choose a lender who has been in the industry for a while. They have the experience and extensive knowledge to answer any questions you have and make sure you get the best rate for your situation.
That ties to the helpful piece. You want a lender who is more than happy to help you anyway they can. You are their client; it just makes sense for them to take good care of you!
We understand it can be stressful to choose a home mortgage lender. This is a huge purchase and you want to make sure you pick the right one! Give us a call at (844) 765-6844 and we’ll do everything we can to give you a great rate for a mortgage you qualify for and answer any questions you have.
Our products and services have no affiliation with or endorsement from any government agency or body.