How to Find the Best Mortgage and Home Loan Lender
Purchasing a home is often the largest purchase someone will make during their lifetime. Whether you only purchase one home in your life or several throughout the years. Given the high price of residential housing the majority of people cannot purchase a home without obtaining a home loan mortgage and many people will also opt to refinance their home loan at some point whether that is to take equity out of the home or to take advantage of a lower interest or other more favorable loan terms. Given the importance of this process as well as the expense it is of great importance to find the best mortgage lender for you. A mortgage lender can facilitate great terms and a smooth stress-free transaction while a poor mortgage lender can make the process a nightmare and in the worst case scenario they could potentially fail to finance the home leaving you without a home and in limbo. The home loan market is flooded with a variety of lenders both locally in Green Bay as well as nationally. They are all competing for your business. Their processes as well as the home loan products they offer will vary greatly.
Finding a qualified mortgage lender is one of the first steps in the home buying process. So how do you know if the home loan lender you’re working with is the right mortgage lender for you? The answers might a little different for everyone but there are certainly a few key points that everyone should pay attention to.
Do I like them?
The home buying process is a stressful one for many people and ideally your mortgage lender should ease your stress level. The process requires communicating with your mortgage lender regularly and the relationship may be a recurring one if you opt to refinance or buy another home in the future. So it’s important to feel comfortable with your mortgage lender and that you communicate with them easily. It’s a big purchase and you’ll have to disclose your financial details which means that liking your mortgage lender definitely makes the process easier and more enjoyable.
Do you feel like they have your best interest in mind?
Buying a home is a big decision in your life and it helps to have a mortgage lender understand that. I have seen a lot of first-time homebuyers say the same thing. “This is my first time buying a home and I don’t know where to start.”
Trust is a big factor when selecting your mortgage lender. It’s a good idea to ask any potential mortgage lender the question below to help you determine their experience level as well as whether or not they have your best interest in mind and if they are offering the lowest rates.
- How long have you been working as a mortgage lender?
- What position did you work in prior to home lending?
- How long have you been at this company?
- What is your company’s margin with the rates you offer? (lower margin means lower mortgage rates)
- What credit score makes an FHA loan a better option than a conventional mortgage?
- How much are your home appraisals?
- The mortgage rate you quoted, does it include points?
- What is your loan underwriting fee?
- Do you charge a mortgage processing fee?
- Can you give lender credits if the seller is unable to pay closing costs?
- Do you have any reviews?
These questions will help first time home buyers and experienced home buyers alike. A good mortgage lender should be able to answer these questions confidently and directly. The answers will help you determine who has the lowest mortgage rates and costs.
Reviews, Reviews, Reviews
If you are not reading online reviews of the products you buy, it could be a disaster. In the vast online world of shopping from your computer, it can be difficult to know what you’re getting. A great way to determine how your experience will be is to read about other’s experiences. In this day and age most mortgage lenders will have reviews, I always recommend reading through them.
When looking at mortgage lender reviews think about 3 things:
- How many reviews are there?
- How many 4-5 star reviews are there?
- What are people saying about the mortgage lender?
- Do I know any of the reviewers?
Learn about the importance of online reviews in 1 minute:
The Take Away on Choosing the Best Mortgage and Home Loan Lender
With so many options available from online mortgage lenders to established banks, the thing you should take away from this article is make sure you feel comfortable with the mortgage lender you choose. Make sure you ask a few unexpected questions to find the best deal, and you will likely have a good experience and get the best deal.
Executive Mortgage is a locally owned and operated mortgage broker in Green Bay, Wisconsin. All of our home loan officers are qualified and ready to discuss the home buying process with you. Meet the team at Executive Mortgage and read our reviews.