What to Look for When Choosing Your Home Loan Lender

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What to Look for When Choosing Your Home Loan Lender

When it comes to getting a home loan, you have lots of choices. Not only do you need to choose a home, but you need to find the right home lender. Just as not all accountants are the same, neither are all home lenders. Selecting the right mortgage lender for your home loan is a big decision. Here are some tips to help you find the right home lender for you.

Shop Around and Compare

When it comes to choosing a mortgage lender, just like shopping for anything else, it’s essential to shop around. Talk to at least three home lenders so you can understand the person, their interest rates, and the specifics terms of the loan they are recommending. Your real estate broker might have recommendations for a home lender, but it’s best also to do your own research, too. Ask your friends and family whom they used and if they were happy with the service.

Ask About Experience for Your Unique Situation

If you’re a first time home buyer, you’re going to want a home lender that often works with first time home buyers. Do you have credit challenges or need a VA or USDA loan? Try to find a mortgage lender that has plenty of experience in your unique situation.

Check out the Lender’s Reviews

Mortgage lender reviews can be a handy tool to assist you in picking the right person and company to work with. Reviews can give you helpful insight into what it’s like to work with that particular lender.

Set up a Preliminary Consultation

Once you narrow it down to three possibilities, set up a meet and greet. You’ll be working closely with your mortgage lender, so pay close attention to your first impression and trust your instincts. Do they respond promptly to your calls or e-mails? Do they patiently answer all of your questions? Do they proactively explain the timeline of the loan and all of the fees?

Compare Loan Estimates

Each lender will have slightly different rates and fees. Pay close attention to the interest rates and fees. They should be able to give you a written “good faith estimate,” which you can use to compare to the other home lenders. A written loan estimate is a form required by law designed to help you compare different loans from different lenders.

Once you choose your home lender, make sure you do everything they request of you quickly, just as you expect the same from them. Respond promptly to calls and e-mails to keep the lines of communication open. View your relationship as a partnership, and the transaction will go much more smoothly and close on time. Remember, if you have questions about the home loan process, or would like to set up a consultation, Primary residential Mortgage is at your service. Contact us today.

 

Note: Opinions expressed are solely my own and do not express the views of my employer.