May 6th, 2016 6:53 AM by Jackie A. Graves
Virtually every lender today can estimate how much you can borrow and at what
interest rate -- after they verify employment, bank accounts and other
information*. The big differentiator among lenders today is timely,
personalized service. Everybody wants that lender who will follow through on
its promises, close the loan on time, and get you the best deal you can afford.
So how do you find that lender?
Start your search by asking your friends, family members or
trusted realty professional for their recommendations. Then pick two or three
candidates and interview them. Be thorough. You will have to live with
your choice for a long time.
That’s why you should ask questions like you are the hiring
manager for a Fortune 500 company. Here are just a few questions I think
you should use when you ask for a recommendation or talk to a prospective
Can they explain the different kinds of loans and loan terms that
are available in clear and understandable language? Did the customers who
recommended the lender find their answers satisfying? When you talk with
the lender, do you understand their explanations? (Remember: this is a major
financial obligation we’re talking about so there are no dumb questions.)
Will they give you a single point of contact to reach for help or
support anytime during the process?
Will the lender provide regular updates telling you where your
application stands at any given time?
Will they demand paper documents -- like two years’ worth of tax
returns, or recent pay stubs – or will they accept them electronically once you
sign the proper release forms?
Will they take the time to let you know they received the
information you sent? Will they tell you when it was received by the proper
Will they clearly disclose and explain the total cost of the
mortgage you want? (Lenders are required by the Consumer Financial Protection
Bureau (CFPB) to provide newly redesigned mortgage and closing disclosure forms
that are intended to help consumers make informed mortgage choices.)
before making a decision, see if there are any consumer complaints involving
the lenders that interest you. The way to do that is to check with your
local Better Business Bureau and the Consumer Financial Protection Bureau a federal agency that maintains a
database of gripes filed against lenders. It’s really no different than
calling a past employer to check out a candidate before deciding whether or not
to hire them.
this series just in time for the spring homebuying
By Lew Sichelman - To view the original article click here