LOVELAND – Whether it is purchasing your first home, buying a vacation home or downsizing to something more appropriate to fit your life style, a new beginning can be a wonderful experience. It can also be a bit overwhelming. There are open houses to attend, homes to compare and a sea of information to sort through. During these times, having a team around you is extremely important. One of the most important members of that team is your loan officer (and mortgage company). To help you with selecting a mortgage company, keep these five things in mind.
Larger mortgage companies have thousands of customers, which lowers your chances of receiving personal attention and support. If you are someone who values face-to-face communication, then having a helping hand right around the corner could be more up your alley. Sometimes the big guys advertise deals that are too good to resist, but having someone who truly understands you as a client, offers you personal support and works to earn your future business can make a huge difference.
Ask for referrals
A great way to choose the right mortgage company is to ask for referrals from friends and family. Word of mouth can be one of the most effective tools in obtaining in-depth reviews of a company and gaining an understanding of how that company treats their consumers. Interest rates and associated costs are a great starting place when looking for the right fit, but having an attentive, organized and responsible loan officer provides can help you get into the home of your dreams.
Compare more than one
It’s difficult to know whether you’re getting a good deal unless you have something to compare it to. Thus, be sure to contact more than one mortgage company for a quote on their loan programs. Be sure to compare apples to apples. If you are considering a 30-year fixed rate loan with no-points, then ask both companies regarding that same mortgage product. Be thorough in your analysis and don’t be shy when asking questions. A good mortgage company will make sure that you are fully informed and can make an educated decision.
Look beyond interest rates
Interest rates are just one of many factors associated with a mortgage. You should never consider it alone. Review the combination of both interest rates and closing costs. Mortgage options with higher interest rates may have lower closing costs, and vice versa.
A home may be the biggest investment that you ever make, and a mortgage may be the biggest debt you ever carry. Take the time to fully understand your mortgage options so that you can make smart decisions. Learn what the terms you are hearing mean, understand the mathematics behind the costs, and don’t be scared to ask questions.