The Most Efficient Way To Choose a Mortgage Lender
Thinking about how to choose a mortgage lender is a prerequisite step to achieving your dream of living in a comfortable home. In fact, this primary step is crucial to many homebuyers as it involves a big leap of financial commitment. For typical working Filipinos, every peso counts, which implies carefully choosing the most efficient mortgage lender to trust.
Below are the steps to follow to ensure you get the firm you can work hand in hand with in fulfilling your goal of purchasing your new home.
First Stage: Pre-Mortgage Search
The first step on how to choose a mortgage lender is by starting to collate your financial records. Create a list of your credit history and all of your assets. Doing so will enable you to determine your current financial status which will be key to your application. Keep your credit history in good shape, as loan firms want responsible customers too. If it is your first time to apply for mortgage, research and familiarize yourself with important concepts such as adjustment rate mortgage, good faith estimate and other related terminologies. Importantly, jut down all the questions you have in mind. Remember that you should be well informed about every step of the way as it involves huge financial commitment.
Second Stage: Choosing the Right One
Nothing beats experience. Seek help from friends and relatives who already have experiences on purchasing a house on how to choose a mortgage lender. They surely they can give recommendations and advice on the to-dos and not-to-dos. You may consult the real estate agents whom they’ve established a good relationship with.
Talk to a number of salesperson from various mortgage lenders and gather the rates they offer. Consider the process like shopping – on a higher level of experience. Aside from checking on different salespeople, do not forget to do a background check on the reputation of the firm they represent.
If you have a good banking relationship with your current bank, you might want to check on the mortgage loan programs they offer. However, do not limit yourself to the financial firm you are currently affiliated with. Call banks and other mortgage lending firms and inquire about their terms. There’s no harm in asking questions.
Researching is made easier and more accessible as information is just at the tip of your fingertip. Use financial websites with online loan calculators such as ecomparemo.com to compare rates. This will give you a glimpse on the rates offered by various reliable mortgage firms and give you an idea what terms you can work around with in consideration of your financial capacity.
Third Stage: Signing the Fine Print
Do not forget to compare the quotes you’ve gathered from all your prospect source. Examine each schemes carefully and do your own computation to check for inconsistencies. Before signing up with any mortgage lender, look closely for hidden charges or any part of the contract that you do not completely understand. Better to be safe than sorry paying for a mortgage you signed up for by mistake.