Episode 2: Choosing a Lender
Welcome to the second episode of the Home Buyers Guide. In this episode, Matt discusses choosing a lender. The two most important people you work with when buying your home are your buyer’s agent, covered in Episode 1, and your lender. Watch and read below for some helpful tips on choosing a lender!
Your loan officer should be someone you trust. You will be sharing a lot of personal financial information with them. They will also be helping you choose the best product and get the best rate, so you want to know you can trust them.
Many people think that there is just one loan, but there are many different loan products: custom mortgages, portfolio loans, etc. You want a loan officer and loan company that has the product that best suits you and your financial plans.
You want to choose a loan officer and company who has good service. One of the bigger aspects of great service is whether they close on time. It is important that your loan officer helps guide you through this process and communicates well with you, because there are such important financial implications when buying a home.
The last piece to be considered is fees. Generally lenders are capped on how much in fees they can charge you, so I think this is one of the less important factors. Rates change everyday until you bring a lender a contract, which makes shopping for rates ahead of time unreliable. Generally though, companies that spend a lot on advertising, probably charge you higher rates! Make sure the money you are spending is going towards service, not marketing.
