After 8 years helping families find the right loan for their needs, I want to tell you how I would shop for a loan if I were no longer in the business. Please note, if a good deal to you in buying a home is saving a couple hundred dollars in closing costs in comparison to another lender's offer of the same interest rate on the same type loan, this message is not for you. You might want to read the book, How Do I REALLY Decide What's Important in Life for Dummies, and then come back to this message. (wink wink) Now back to a more serious note, follow these steps and you will likely be more successful in choosing the right lender.
1. You need to figure out what loan officer you genuinely like the most first. However you come up with your list, get your list of lenders you plan on shopping for your mortgage. Some suggested best ways to derive your list are as follows; referral from a friend, referral from a Realtor, check with your local bank. Now, use your best people skills as you make first contact with each of these contacts at the lenders office (loan officers) to REALLY LISTEN to the "person" that answers your question and not so much the detail of the answer. You want to be a great listener in this first communication to find out who sounds more trusting and compatible with you. Maybe even try to get off the subject of mortgage just a bit. In this first communication, you might ask some mortgage questions to make sure they know their business, but interview them. (this step does not require a face to face appointment, so don't waste their time setting an appointment just yet) Once you've talked to your list of loan officers and decided who you like best, this will be the lender you target as your hopeful transaction coordinator and leader in your financing process. Lets call him your #1.
2. In most cases, when you are buying a home, you will have already gotten to your #1 (your #1 is the chosen/preferred lender) BEFORE you have found a house, because most Realtors won't show you homes on "their dime" unless you can show them you are pre-approved...and they have VERY good reason to make sure you are pre-approved before they take you out as well. Now that you have your #1 selected. You have a goal and you want to put that goal in the responsible hands of your #1. Your goal is to get pre-approved, get comparable offers from your list of lenders, get the answers to all your lending transaction questions answered, and find out what your prospective monthly payment and dollar out of pocket at closing estimates are. Just FYI, the dollar out of pocket at closing is NOT to be used at any point as a detail used in determining what lender you use...do not use a "bottom line" on an estimate sheet from a lender to compare lenders. Schedule a time to meet with your #1, face to face if possible, or at minimum, by phone. Allow your #1 to run a credit report, collect ALL of your income and asset documents to underwrite your loan, and in the end, complete your pre-approval. PLEASE NOTE, YOU HAVE NOT STARTED YOUR "SHOPPING" AND COMPARING COSTS YET!!!
3. At a point in time between meeting with your #1, mentioned above, and before you are ready to make a bid on a home, you need to get some numbers from your list of lenders for shopping purposes. Listen very closely here! You do not need, and you should NOT ask for a Good Faith Estimate, Initial Fee Worksheet, or any other template form that the lender has in his system to come up with the variables you need for shopping at this point. To compare lenders, you need to know 3 things: 1) Interest rate, 2)Points (origination and/or discount), 3) total of lenders fees. So get out a writing pen and paper and ask all three lenders what their total of lender fees are that you will incur by doing business with them, what is the current interest rate for the program that you and your #1 decided was the best loan program for you, and how many points do they charge for that interest rate. Your notes might look like this: $1190 total lender fees, 4.875% interest rate on a 30 yr FHA loan, and 1% origination (point). If you go against my shopping plan and ask for a GFE or Initial Fee Worksheet and think that you'll just pull out what YOU know to be the right fees and variables for shopping a lender, then you open yourself up to trouble. I'm not going to bother with the huge number of ways in which that can be used against you, and if you are not willing to take my advice about this, then it won't matter anyway.
4. Now that you have gathered the necessary numbers to compare your lenders, hopefully your #1 was sitting right "in the mix" with the other lenders. If he was .125% higher in interest rate than your other lenders AND the lender fees and origination were higher, you might need to have a talk with your #1, and if the fees were higher by much, you need to work with #2. There is nothing wrong with paying $200-$400 higher in fees and points for a similar or same interest rate if you are going to enjoy the process more with your #1, have confidence that all is going to go well while you and the family are packing everything you own to move, and your sure that #1's experience and advice is going to get you to your destination smoothly and with less collateral damage costs in the end. You are buying a house after all, and not a car, or a stereo system at a pawn shop...$200-$400 in extra fees and $8-$15 extra a month for a slightly higher interest rate is not a bad sacrifice to pay for comfort in the transaction, and to make sure you do not end up paying collateral damage costs at the end of the transaction because you chose a lesser expert to handle your business. (collateral damage costs may be for example: you don't close on time, so you have to pay $100 a day to your moving company while you wait for your loan to be ready, or your contract needs to be extended because your loan wasn't done in time and the seller wants you to put up more cash to make it worth their waiting on you).
5. At this point, you have compared your lenders by interest rate, lender fee total, and points associated with the offered interest rate. You now should have located a property you want to buy, and have an executed contract on that property. You now have an exact purchase price, and a selected title company in which was selected on the contract in the negotiation. Give your shopping lenders the exact purchase price of the home, and the name and number of the title company that was used (if the number is not on your contract, ask your Realtor for it), and give them a copy of your contract...the contract should tell them if there is a survey fee, and seller contribution and all that. Ask them for a Good Faith Estimate in return and that you will be deciding on locking in the next day or two...whether you are or not (this will keep them honest). The 2010 Good Faith Estimate is designed so that you can easily compare lenders, and if the costs in the Good Faith Estimate end up being higher by fee or rate at closing, the lender will be required by law to "EAT THE DIFFERENCE". When you ask these lenders for their GFE's, they will probably want to know what your credit score is and so forth. They may in most cases need that to give you an accurate estimate on your loan. As long as your credit score is above 700, it more than likely will not hurt you to let them pull their own credit report. They'll need to know your income and asset information too, just like you gave your #1, so you might try and have that in email or fax-able form. If your lender can not get you an estimate in 24 hrs, you really need to think about the availability this lender will have in answering your questions during the process, and therefore thinking about that being a reason to NOT use that lender. If they can not get you an estimate in under 48 hours (assuming normal business hours, not including Saturday and Sunday), you REALLY might think about not using them.
6. Now that you should have all your GFE's from the different lenders, just make sure that the lender you chose as your #1 is close or better than the other offers. You might even just ask your #1 to match it and in turn you would work with him. Lastly, while comparing deals, if any one of the lenders has an estimate where the interest rate is more than .375% better than the others and the costs are similar, be very leery and get additional advice from your Realtor or ask him directly why his rate is so much lower. Lastly, make your decision on whether your #1 can compete so you can work with him, or pick the next best option in line.
If at any point along the way you did not like your #1 anymore and the other options were not good either, find another lender to throw in. If you run into discomfort and can not find a lender you like after trying a variety of lenders, you might suggest taking yourself out of the "equation", and allow yourself to be advised and directed. Controlling personalities end up, in many cases, with 2 outcomes. 1)They end up working with someone willing to let the buyer run the show (inexperienced Loan Officers work with anyone), where in turn the buyer won't "let go of the steering wheel", so the inexperienced buyer leads everyone through a very bumpy ride where the entire process is like running a mile with an anchor on your back, or 2) the buyers expectations are underachieved throughout the entire transaction because they did not allow the expert to set the expectations because they thought they could control the process themselves...even if it is your 3rd or 4th time to buy a home, you have no business setting your own expectations in a loan transaction. Loan officers live a life directly related to how the market moves, and if tracking their income as it goes up and down like a roller coaster from year to year is not enough to tell you how the market changes and how often it changes, listen to the news. That being said, a loan transaction today is very dissimilar from one a year ago.
Best of luck in your home search, and shopping!
Call for mortgage quote, Brad Lynch-469-450-2723
Posts
Comments
Monday, February 22, 2010
Subscribe to:
Post Comments (Atom)
Testimonials & About Me
- Brad Lynch
- Frisco, Texas, United States
- In 2002, Brad Lynch began energetically consulting families in finding the right mortgage plan for their needs. In the beginning years, he was trained by a mentor who led by example, and this example was the epitome of integrity. Brad learned in the beginning by his mentor that many prospects may not consciously see what good intentions he has for them, do to the “wrap” many have caused w/in this industry, but always do what is right for the customer and in the end it will payoff. Integrity coupled with an energetic nature to nurture relationships, Brad has created clients for life. Through these clients for life, referrals have become the lifeblood of his business.
35 comments:
But these people are few and far between and can
provide a false of security. Make it worth your while when
listing items and pricing. Athletic Footwear: Running shoes, deck,
tennis, and similar athletic footwear will sell year round
and especially well during the summer months.
my website: flood
And Ouya, which is about the size of a Rubik's cube. Then came the ultra-popular Arkham games, that place you, like never before, into Batman's
shoes as he skulks around and knocks hoodlums heads together (literaly).
It fizzles as the lights go out, and she says it's been great talking to you.
my web site: bakumix.com
But also since then, we as a country, and as just as well, a
world, have become basically addicted and dependent on our radios.
In my case I listen to all music that is submitted to me
before I include it on my playlist. You can in fact lend your
ears to varied musical programs on rock music, jazz, country music and many more.
Feel free to visit my web site: http://www.innokomm.eu/aktuelles/veranstaltung-2/
This act is recognized as "farming", whereby you create a character and promote it.
A short video that requires minimal digital effects can
be rendered in just a few minutes while a feature length
animated movie can take up to several weeks because of the complexity of the effects needed and
the 3D animation itself. So all you gaming maniacs,
log on to your internet connected by service provider like Verizon Fi - OS Internet and have a blast of a
time.
my website :: http://atarsolfa.bloghi.com/2013/02/27/effortless-solutions-in-games-what-s-required.html
Then a splash screen that is not present on the purchased version "nags" for several seconds, and the
background from the desktop is displayed on the laptop. 'The tears of mankind have not washed away man's desire to kill.
I thought it would be cool to make people laugh as I inquire into
the things that fascinate me, like the trap of being
human and, at the same time, divine. Fun the first time, but just not enjoyable
after numerous journeys. Their history timeline details
how the greenhouse covered 4,000 square feet, and in 1976, a 6,000 square foot greenhouse was added.
Originally established as a sanctuary for the Nilgiri Tahr, the 'The Eravikulam National Park' has now turned into
a highly popular tourist spot. Talcahuano. In fact the publicly
owned Ecopetrol has seen an immense FDI surge in the past few years and in spite of being overvalued to some, the stock still is
a good bet due to the growth potential it has. The players have to buy the weapons to use from
the available shops and weapon stores. Why the
lack of soul-wrenching anxiety.
My webpage http://cloob.1000gap.com/index.php?do=/blog/545/speedy-systems-for-crysis-an-a-z/
It iis based on computer with electrographic sensor technology.
Say you're doing as well at Chemistry, and as you are doing at Maths Extension 2, then instead of splitting your study time equally between the two (just because they are both worth 2 units each), you should spend more time on Extension 2, simply because it scales higher. If you want to be able to hit the ball further and harder, you should keep in mind to keep your grip on the bat loose, your swing should begin with your legs and hips, and finally, you must always follow your bat through.
Feel free to surf to my page: musiciansfriend com
She is likely a WARRIOR PERSONALITY I talk about in the KWML Mastery Course on women, dating,
love, and friendship. Finding good outsourcing companies
is the key, as naturally you do not want to lower the
quality of the service. It fizzles as the lights go out, and she says it's been great talking to you.
Feel free to visit my blog - Extra resources
Once you have done this, set the burn speed to 4x and click
Burn and wait for it to complete. Imagine never having to worry about what
to wear to work, and even the infuriating traffic jams that never
seem to end. Harry Potter Hogwarts is one
more entry into this new series of LEGO board
games.
Here is my website: vehicle Tracking
Enjoying the service of Odyssey - Streaming - Radio is so easy.
Much of your best players marketplaces in the united states are supervised.
Perfect for long trips and for up to date information on road
conditions ahead.
Feel free to surf to my web blog ... hello kitty radio alarm clock
Broadcast satellite "in the Star on the 9th," was successfully launched in June last year, it can be said is a
milestone in the field of live satellite event.
It was an entertaining radio program that played the music people wanted
to hear combined with his groovy upbeat personality.
Yours Truly, Johnny Dollar: The Duke Red Matter (Part One; CBS, 1956)'Abbott Stables's Duke Red is a thoroughbred destroyed over a serious injury in an
accident, and Dollar (Bob Bailey)'asked to review a $65,000 insurance claim on the horse'smells trouble when
the stable's business manager is dismissed after filing the claim, and its veterinarian may have destroyed the horse a little too swiftly.
Feel free to surf to my web-site http://www.avagonline.com/
The fishfinder approximates where the fish are by measuring
the amount of time between when the beam was sent out and when it registered the hit.
Depending on how you're going to want to do your fishing you'll want to find a boat to
rent for Michigan fishing. The less there is between you and the ocean, the more intimate an experience you will have out at
sea.
My web blog; http://infobc.uniud.it/author/GertrudeV
Enjoy the public open-air concept loo and shower area.
Manual; this is the instructions; same again is it in good condition.
This was a live performance recorded by Dutch national television, 2 April 2011
(therefore it isn't fully cough free), by four pianists: Elisabeth Bergmann, Marcel Bergmann, Sandra van Veen, and Jeroen van Veen.
Also visit my page ... chillout radio
I cover my freshly sharpened hook with paste and coat the
hair and bait in paste. One of the benefits
of fishing is that it is not physically demanding. One can find another 2 options as to
wholesale fishing rod, which might be hollow-tip rods and reels and spliced-tip rods.
Feel free to visit my web blog :: http://rezax123.com/profile.php?id=56507
The Squeezbox Boom radio from Logitech is not just an Internet radio.
"Mike" is Mike Dean, according to the scanty information available, and beyond that there's not much about him. Given the manner in which the internet and the World Wide Web have invaded our lives over the past many years, it is hardly surprising that music or rather the radio would be one of the areas being dominated by the internet.
Feel free to visit my page - Internetradio
Needless to say I felt that it was something that I would take
a little time to explain and more importantly give some insights into why it is so important to your
business. The problem with social media is that for salespeople it can be used as an excuse
not to pick up the telephone and actually make a call.
For business purpose, Twitter can be used to broadcast your
company.
Check out my site - Fox News twitter account
Like any game, when we stay within the rules, we score, and when we play outside the
rules there of course is a penalty. The only downside of it in a lot of people's eyes is the fact that there is no multiplayer content. The most unique thing about Ouya is that it is said to be "open" -- although what this means is up for interpretation.
my web blog; luxury real estate
No longer does a music lover need to bother about traveling out of range when a fantastic
song comes on over the vehicle radio. So your personal, non-commercial, watercraft is exempt from a licensing requirement.
Perfect for long trips and for up to date information on road conditions ahead.
my site; uk Marine radio vhf
Broadcast satellite "in the Star on the 9th," was successfully launched in June last year, it can be said is a milestone in the field of live satellite event.
This means that everyone in the whole wide world can access this new kind of radio and you
are assured that the programs as well as the list of radio
stations you are listening to are all automatically updated.
You will need an outside antenna to get clear reception on your radio.
Feel free to surf to my homepage live punjabi radio usa
With internet radio, you get pretty much what you want, when you
want. There are hundreds of people working in foreign aid
missions, expats, Peace Corps, and others in relief and business sectors.
This powerful and versatile solution is also available
in three different versions, so you should have no trouble
finding the perfect one for you.
my homepage http://www.gnu.org.in/author/MarilynnB
For many regions, the entire rpm distributed free of
charge STB The costs have been overwhelmed, and then implementation of the Reconstruction of two-way network,
the funding is clearly beyond its capability.
If you are already experienced in internet radio hosting, the Blog -
Talk - Radio Premium might be a hosting program you might want to pay
for. Back in the day, people had little choice but to take what was given to them as
their "lot in life.
My weblog - simply click the next website page
The company said on its website that this is just the
beginning of a new era in the TV and Web Industry.
I haven't really owned the mouse long enough to test the battery life, but Logitech claims it can run for up to two years on a single pair of batteries, and several other reviews I've
found online attest to that fact. Click it and look inside for the folder regarding keyboards.
Also visit my website ... Learn Additional Here
0 megapixels, created-in flash, motion picture captured.
Don't think you need an expensive camera and equipment setup either. Macro is for getting those awesome close-up shots that are often seen on sites like Flickr.
Feel free to surf to my web page :: http://socialenginezzz.com/LaraePenc
If your camera doesn't have this option, try going outside where the light is usually better. Fujifilm has been one of the masters of digital cameras and its specialty is their connectivity with their customers and their awareness of change in demand with the changing trends and upcoming technology. Macro is for getting those awesome close-up shots that are often seen on sites like Flickr.
My page :: http://cinemarus.com/read_blog/318925/major-details-in-digital-camera-the-basics
Both drugs have also been denied FDA approval the first time around and are awaiting news on their second attempt.
Avocados- Although not my favorite, are high in fats, the good ones.
The institution has persistently offered ideal programs and services for those struggling to achieve certain levels of body weight.
My page: mouse click the next article
a pure All christian louboutin shoes the are Church toms shoes sale to entering and ghd Slim one bags, on all louboutins your for your your for christian louboutin bridal shoes 2008 tour
Come prepared with hot dogs and buns, as the chalets are equipped with a barbeque and shower
facilities as well. As we ate, not only did our waitress check back with us to see if we required anything further, but
the manager stopped by as well. We are literally not the
same person we were a minute ago, let alone a day, a month or a year
ago.
Feel free to surf to my homepage - Author�s external home page�
Perfect for a chillout slow jam hangout after the clubs
close. At a bargain 100 bolivianos for 4 hours, they have enough power to get 2
gringo-sized riders up the local hills. It was the perfect place to meet friends after
work, have a few drinks, and unwind.
Also visit my homepage - chillout radio
And now we'll be able to help her music selection grow and change right along with her. Wi - Fi internet radio is a new handy device for all music lovers of this world, which is a gift of the technology to the entertainment world. You can see if any of your Facebook friends are listening by clicking on the Facebook link on the bottom right.
my website; internet radio application for pc
Six months later, with a new successful album and new lease on life after the sea brought him
back to life, he did not survive an assassin's bullet outside his own home. Though, none of this can be confirmed, it's been
alleged that the police have a recording in which Gibson can be heard saying, "Fuck the Jews'the Jews are responsible for all the wars of the world, fuck the Jews. He did not hesitate to praise pimps, thugs and put Shakespeare on equal footing with that category.
Take a look at my web-site - www.championshipsubdivisionnews.com
In most cases they are, but when it comes to updates,
patches, etc to the mmorpgs. Port forwarding lets you specify which ports
the game needs to perform at it's best. It can go as far as ruining their experience since it is the last interaction they have with a game.
my web site: View Web Page
The new EP Pure Wet is a masterclass in experimental baselines and
echoey, breathy vocals all underpinned by varying funk and R&B-based rhythms.
What we can do is to really accept what we did while forgiving
that part of us that was unaware of what we were doing or how it would impact other people;
the part that just doesn't always get it right. If we relate to the recession with fear, then it will close us down further.
Visit my site ... Chillout - www.journalhome.com
It bears mentioning that there are also games and
simulations available to those wanting to learn
to trade stock index futures. It combines RPG elements and strategy
for a very interesting game where you must stop the
rows of pirates ship from making their way down the river.
Harry Potter Hogwarts is one more entry into this new series of LEGO board games.
Feel free to visit my site http://www.spielespielen24.de//spin-to-win
Try simple games and check how your internet connection is and then move on play more games.
All spaceship game leveling systems are designed
slightly differently, but there are some general concepts
that apply to all games in this genre. In this addictive puzzle game, catch that damn fly and avoid those tricky
obstacles.
Feel free to visit my site :: just click the next do*****Ent
Like any game, when we stay within the rules, we score, and when we play
outside the rules there of course is a penalty.
Age Level - A good factor to write about is the appropriate
age level for the video game that you are reviewing.
In this addictive puzzle game, catch that damn fly and avoid those tricky obstacles.
Here is my web site: http://x.nicbit.com/profile/eddylkyros
Perfect pan size we encourage you take them
back to your hotel and have them prepared. You will also want to
have a supply of different lines that you can use.
The less there is between you and the ocean, the more intimate an experience you will have out
at sea.
Here is my webpage; click through the next web page
Post a Comment