Finding a mortgage lender involves more than just getting a good interest rate; you want to work with a mortgage company who will guide you through the process and be there to answer your questions.
Below are tips to help when looking for a mortgage lender.
1. Review your credit score. A higher credit score typically equals a lower rate. If need be, look into credit repair to help get your score higher.
2. Compare rates from several mortgage lenders & ask friends/family who they have used and what they like best/least about their lender.
3. Read reviews, ask questions (see below for ideas), and read the fine print. Find out about requirements and fees, including costs beyond principal and interest payments.
4. When applying ask for a Loan Estimate. Loan Estimates will show the details of your loan, including interest rate, fees, monthly payment, and more.
5. Get pre-approved for your mortgage! Pre-approval boosts your chances of having your offer accepted.
Ideas of questions to ask lenders.
- Whom do you represent (e.g., a bank, broker, finance company)?
- How long have you been working as a mortgage professional?
- What are your loan programs? For example, do they offer VA loans.
- Can you estimate & explain your fees?
- Am I paying any points on this loan?
- Are you going to hold this loan or sell it?
- Do you have experience with borrowers in a similar situation to me?
- Do I need to pay private mortgage insurance (PMI)?
- Are there any prepayment penalties on this loan?
- How long from contract to closing?
- Is there someone available 24/7 to answer any questions I have?
- How are you keeping my personal information secure?
- Do you sell my information?
At Reed Realty our agents are trained experts in their field. We pride ourselves on quality customer service and continuing education. Whether you are a first-time home-buyer or a seasoned veteran, our team has the resources you need to buy real estate in Northern Minnesota. Call us and let our team get to work for you.