Shopping For Lenders

When you're ready to get the home of your dreams or just refinance the one you're already in, you'll most likely shop around for a good mortgage. And, if you're like most people, you'll pay most attention to the interest rates and points (percentage points paid to the lender for their service).

But bear in mind that although the costs of a mortgage are important, they are not the only thing to consider in choosing a lender. Make sure your lender is someone you feel comfortable talking to, someone who answers your questions honestly and thoroughly. You will, after all, be sharing all your intimate financial-details with them! Also make sure that they (or their staff) have good customer service skills. In a detailed transaction like this, you want someone who will be on top of the details and be quick to address any concerns and return your calls...

Also, consider the types of loans you are being offered. Each lender has access to different "loan products" from 15-year, 20-year, 30-year or more, to the payment-structure and penalties. You could also choose to go to a mortgage broker or a brokerage where typically they'll have access to hundreds, if not thousands of mortgages.

And don't be afraid to shop around. You are not bound to the first lender or loan officer you meet.

You can literally interview as many as you like until you find "the one". But just use caution to not give out your social-security-number too many times as it can ding your score a couple points each time it's pulled. Lenders always want that number first to determine if you're a legitimate candidate for a mortgage or not, but you have no obligation to giving that out until you're sure!