Part II: The 5 Secrets of Being a Skilled Home Mortgage Shopper

If you read Monday’s post about The 5 Secrets of Being a Skilled Home Home Mortgage Shopper, you already know my first two tips. Now, here are the final 3 secrets of being a skilled San Mateo County Home Home mortgage Shopper.

3. You Get What You Pay For


In the consumer world, deals do exist and finding them can be a gem, but when you are shopping for a home mortgage, the cheapest is not always the best. Call or look around on the internet and you can find numerous sources that say they are they cheapest deal out there, but do you really want to place an important and complex process into the hands of the lowest bidder? If you do decide to go the discount route; expect very little advice, little experience and zero personal service. On top of this, expect the real possibility of not closing at all. Losing the home of your dreams and then realizing that the cheapest isn’t the best can be a hard pill to swallow.

4. The Correlation Between Interest Rates and Closing Costs


You can have any rate that you want! Yes you heard me right. You name the rate you want, I can give it to you. Any home mortgage professional can, but you may pay more in costs if the rate is lower than the norm. As you are learning, when it comes to your loan, you have multiple options. You can pay fees to lower the rate, reduced fees or you can pay no fees at all. Paying zero fees will cost you with a higher interest rate. One of these options may be a better fit for your financial needs and a true home mortgage professional will find the balance between interest rates and closing costs that best compliment your financial goals.

5. Interest Rates are in Constant Flux


Interest rates change daily and sometimes hourly. This means, that trying to compare lenders rates and fees isn’t feasible. You would have to receive these quotes at the exact same time on the exact same day with the exact same terms and ready to lock the rate in or you are just wasting your time. You must also know the length of time for the lock because this also affects the rate and fees you receive. While this seems frustrating, remember that the professional you pick is worth more the any rate you are quoted.

I hope you have enjoyed my home mortgage shopping posts over the last few weeks. Now that you have the skills and the knowledge to shop effectively, go out there find a bargain (AKA a true home mortgage professional). If you want a complete version of the Home Mortgage Shoppers Guide, feel free to drop me a line. So until then… Be Smart, Ask Questions and Wait for the Right Answers!

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