Home buyers often do not realize how complex and competitive the lending process can be. For many (especially first-time buyers) there’s only a hazy idea of “the bank” approving or denying them a mortgage. So many don’t understand how to shop for a loan or that investing a little time upfront can result in profound savings and a sense of satisfaction.
A recent article in the Wall Street Journal recently revealed “in a recent survey, 21% of home buyers regretted their choice of lender.” (Source: http://www.wsj.com/articles/about-one-fifth-of-mortgage-borrowers-were-unhappy-with-their-lender-1481738583) Among first-time buyers, that figure crept up to 27%.
As the piece details, there are some good ways to avoid this disappointment. First and foremost, it’s important to plan ahead, looking into mortgage options long before you actually begin hunting for homes. It’s also important to get more than one quote. Also, don’t go solely on a referral from a friend, family member, or even your real estate agent! While your agent may know some superior lenders, you should always base your decision on the lender’s own merit. Often online reviews and independent rating agencies will help you make this determination.
Additionally, you may be interested in these tips from the website “Nerd Wallet” to help you “jump-start the mortgage loan process.”: https://www.nerdwallet.com/blog/mortgages/5-tips-finding-mortgage-lender/#5tips This article also includes killer questions to pin down how these lenders work and what you can expect during the experience.
Finally, here are some resources to avoid becoming a victim of a predatory lender. This piece, “Top 12 Warning Signs of A Predatory Lender” by FHA Loan Pros (Source: http://www.fhaloanpros.com/resource/top-ten/top-12-warning-signs-of-a-predatory-lender.php) provides crucial warning signs which might just save you from making a major mistake.
Looking for a mortgage broker to help you navigate the lending process? I’m happy to refer a few. Get in touch with me, your trusted local real estate professional, by phone at (905)940-3599 or by email at email@example.com today.