How to Get a Good Mortgage Deal


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In a refinance transaction there are certain areas you must pay attention to when comparing quotes.

Lender Fees: You should start by comparing good faith estimates that are for the same rate. This will level the playing field and allow you to determine who has the best offer based on fees. The top section of the good faith estimate will have all of the fees from the lender. There are various fees so to make it easy concentrate on the total from each.

Title and escrow Charges: Title and escrow fees are not determined by a lender. Lenders usually have preferred vendors they use for their service but they are not financial compensated by these companies. You may have heard that these fees are the same no matter who you use. This isn’t always the case. The reality is some lenders do a better job of aligning themselves with partners that are cheaper.

If you really want to dig and get the best deal sometimes you can capture savings by choosing a lender that works a tiel and escrow company and has bulk rates for all the services including title, escrow, loan signing fee, and the major endorsements.

When the third party fees are all coming from the same company lenders are able to negotiate better deals for their clients. When title, escrow, and notary are all coming from the same place the company is able to get a little more aggressive with each piece.

The total fees on your transaction should be your main concern. A lender that has gone the extra mile to deliver third party fees that are cheaper has you in mind.

Estimate Date: With rates changing so often make sure you are getting estimates from the same day to be able to accurately compare companies. Rates change daily; sometimes multiple times a day.

Trust: You must ask yourself. “Has this company presented themselves in a way that I feel comfortable?” A good faith estimate is just an estimate and sometimes can change. You should work with a company that has a reputation for fair lending and honest accurate good faith estimates. Currently there are 8 Certified Upfront Mortgage Lenders in the country. This is a great place to start. These companies have been accredited with this certification based on their honest and upfront business practices and a strict set of loan presentation guidelines.

With the right information and expectation getting a mortgage can be a breeze.

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