Do You Know How To Find The Best Mortgage Deal

Do You Know How To Find The Best Mortgage Deal



Do you​ Know How to​ Find the​ Best Mortgage Deal?
People will spend months or​ even years planning to​ buy their own home .​
They will work hard to​ build good credit .​
They will save a​ sizable down payment .​
They will search for the​ perfect house .​
Then they will settle for the​ first mortgage they see.
What is​ wrong with this picture?
It is​ important to​ remember that if​ you​ have good credit and a​ down payment then you​ are in​ the​ driver's seat when it​ comes to​ negotiating a​ mortgage .​
You are the​ dream customer that lenders want on​ their books .​
Even if​ your credit is​ not perfect and your down payment is​ nonexistent you​ are still an​ attractive client for many lenders.
Repeat this mantra whenever a​ lender acts as​ if​ they are doing you​ a​ favor by lending you​ money: I​ am going to​ give them a​ lot of​ money .​
Yes,​ you​ are .​
Over the​ next five to​ 30 years you​ are going to​ pay a​ lot of​ interest to​ this lender as​ well as​ repay the​ principal they originally put up .​
They are not giving you​ anything .​
This is​ a​ business deal and the​ lender stands to​ make a​ lot of​ money so you​ need to​ protect yourself to​ get the​ best deal you​ can.
While most lenders tend to​ make you​ think you​ should be grateful to​ them for taking this huge risk on​ you,​ it​ really is​ the​ other way around .​
a​ mortgage lender can't lose .​
If you​ honor the​ deal they will make a​ lot of​ money and if​ you​ don't honor the​ deal then they simply take your house back and keep the​ interest you​ paid in​ the​ meantime!
However there is​ an​ even bigger fallacy that lenders like to​ perpetuate .​
They don't want you​ to​ know how desperate they are for your business .​
Look around and you​ will realize the​ truth of​ this .​
Check out the​ television,​ radio,​ and print ads that abound and you​ will see the​ mortgage lenders are getting pretty competitive.
That is​ why you​ simply must shop around to​ find the​ best mortgage deal available for you​ .​
In the​ end you​ could save yourself thousands of​ dollars .​
Here are five ways to​ help you​ find the​ best deal:
~ Shop around - Get quotes from various lenders .​
Look at​ local and national lenders and don't overlook the​ internet.
~ Compare terms - Interest rates vary from lender to​ lender but lenders offer different interest rates depending on​ the​ terms of​ the​ mortgage .​
How long will it​ be (15,​ 20 or​ 30 years)? Will it​ be variable or​ fixed?
~ Tweak some of​ the​ optional items that you​ control,​ such as​ the​ type of​ insurance you​ will carry and whether or​ not you​ will use escrow for taxes etc.
~ Adjust your down payment - Sometimes being able to​ increase the​ percentage of​ what you​ are putting down can make a​ difference in​ the​ lenders terms (similarly buying a​ less expensive house will work the​ same)
~ Haggle - Yes! Lenders often act as​ if​ their rates are written in​ stone but this is​ not the​ case .​
This is​ where shopping around can really come in​ handy .​
If you​ can show that you've got a​ slightly better deal with another lender then sometimes another lender will lower their rate to​ beat the​ competitor .​
Hey it's worth a​ try!
Just remember that you​ are in​ control of​ your future .​
You can choose whether or​ not to​ accept a​ mortgage lenders terms .​
There are a​ lot of​ lenders out there so you​ do not need to​ sign with the​ first offer you​ receive.
One last hint: It might be best to​ go through this process before you've found the​ home of​ your dreams! you​ can get preapproved for a​ mortgage with most lenders and that removes the​ pressure and worry of​ losing the​ home of​ your dreams while you​ negotiate with a​ lender .​
It also puts you​ in​ the​ driver's seat when you​ are negotiating to​ buy that dream home when you​ finally find it​ if​ you​ already have a​ mortgage ready to​ go.




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