Shop Around For A Mortgage

Shop Around For A Mortgage



Shop Around for a​ Mortgage
If you​ have decided to​ take the​ leap into home ownership or​ you​ are interested in​ refinancing your current mortgage,​ one of​ the​ first things you​ will need to​ do is​ track down a​ mortgage.
I honestly can’t tell you​ just how many mortgage companies there are in​ the​ United States,​ but I​ can tell you​ this,​ there are a​ lot of​ them.
Mortgage companies also come in​ a​ few different forms .​
You might recognize one as​ your local bank,​ but there are also wholesale lenders who use not only there own loan officers to​ originate mortgages,​ they will also use mortgage brokers .​
Than you​ have your retail lenders,​ who use only their own employed loan officers.
Because there are so many mortgage companies out there,​ the​ industry has become highly competitive.
So before you​ commit to​ the​ first lender you​ approach and start filling out applications,​ look again,​ and consider shopping around .​
Like I​ said,​ the​ mortgage industry is​ highly competitive,​ so let them fight over you.
You don’t have to​ go crazy when shopping for a​ lender .​
No more than five inquiries should be your limit .​
Talk with them,​ find out what programs they have to​ offer,​ and at​ what rate .​
Ask about closing costs .​
Remember,​ closing costs should not exceed 5% of​ the​ total amount of​ the​ loan at​ the​ very most .​
(This does not include the​ down payment).
By shopping around,​ you​ will be able to​ get a​ feel for what is​ out there,​ and whatever lender offers you​ the​ best deal to​ fit your needs and your budget,​ should be your lender of​ choice.
The down fall to​ speaking with one lender is,​ you​ are limiting yourself too just their products and services,​ as​ well as​ their rates .​
How do you​ know you​ can’t get a​ better deal somewhere else? Most likely you​ can.
Shop around for a​ mortgage the​ way you​ would shop around for a​ car .​
Look at​ a​ few of​ them at​ different dealerships,​ test drive them,​ discuss pricing with the​ sales person,​ than once you​ and the​ selling party have come to​ an​ agreement,​ make the​ purchase.
Buying or​ refinancing a​ home is​ not something you​ want to​ rush into .​
So take your time and educate yourself .​
Talk to​ people within the​ industry,​ shop around,​ than make an​ educated decision based on​ what best fits your needs.




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