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Mortgage Broker

A Note on Mortgage lenders in customer satisfaction

5 Secrets Home Mortgage Lenders Won’t Tell You
1. You Can Negotiate – One of the biggest secrets that home mortgage lenders will not divulge is that it is possible to negotiate certain aspects of a mortgage loan. Obviously if you have very poor credit your ability to negotiate will be zero or close to it, and you may be lucky to qualify for any loan at all. tampa4u.com/blog/2010/08/30/top-mortgage-lenders-in-customer-satisfaction/ has some nice tips on this. If your credit is good and you receive several offers you can negotiate to get better terms on the loan. Some lenders may offer lower rates and more favorable terms, and you can use this fact to open negotiations with the lender that you prefer to do business with.

2. All APRs Are Not The Same – Home mortgage lenders talk about the APR offered, but they do not disclose that this percentage rate can be reached in different ways and does not really mean much. Some lenders will have an APR that includes the application fees while others do not add these fees into the APR formula. Comparing the APR offered by each lender is almost pointless, and there are other methods that can help you determine the best lender instead of APR comparison. This rate can also vary on other factors as well, such as the loan size, title insurance requirements, mortgage insurance requirements, and even whether the interest rate is fixed or variable.

3. It Is Easier To Avoid Mortgage Insurance Than To Cancel This Coverage – Mortgage insurance is a typical requirement for any borrower who puts a down payment of less than 20% on a home. If you do not provide a down payment of at least this percentage then almost every lender will insist on a mortgage insurance policy for the lender’s financial protection. It is usually better to wait until you have the 20% to put down on a home then to buy now with the plan being to cancel the mortgage insurance once your equity reaches this amount. If your mortgage starts out requiring this insurance it may be difficult or even impossible to cancel it in the future as long as there is a substantial mortgage balance remaining.

4. Clearly Mark Any Early Payments As Such – Early payments and additional amounts sent each month to be taken off of the loan principal should be clearly marked for this purpose. Most home mortgage lenders prefer that you do not pay any extra because this lowers the amount of interest earned on your loan. A common complaint is that any funds paid above the monthly amount due are not credited to the principal, and many lenders will place these funds in the escrow account instead. Clearly mark the check or money order to identify that the amount is to be deducted from the principal, and then the lender has no excuse not to do so.

5. Just Because You Qualify Does Not Mean A Loan Is Right For You – Home mortgage lenders only make money when you take a loan product from them. This means that you may be offered loans that are not a good fit with your needs, because the lender is out to make money and could care less about your circumstances. It is important to evaluate each possible mortgage before making a final choice, so that you get the best loan possible for your individual situation.

Aspects about Perth Broker

The mortgage industry is constantly changing keeping it almost impossible for the common person to keep up with interest rates, terms, mortgage programs, and the many choices for mortgage lenders. Employing the services of a mortgage broker or agent can greatly increase your chances of getting the best deal. Perth Broker – Mortgage Broker Perth has some nice tips on this.

Mortgage brokers have many contacts with different types of lenders, and even have a few that they regularly use. By establishing relationships with multiple mortgage lenders, the mortgage brokers can more easily negotiate terms for your mortgage, and perhaps can even get you a better deal than you would be able to if you were working with a mortgage broker directly for the first time.

Working with a helpful mortgage broker can make the often confusing process of getting a mortgage a little easier and convenient. It is important to work with the mortgage broker and provide all the necessary information he or she might need to make the deal happen. Following are 5 ways on how to work with a mortgage broker so you can get the most out of his or her services.

1. Provide Correct Information
One of the most important things you can do to make this process run smoothly is to provide correct information regarding your credit, income, expenses and debt. When the mortgage broker asks for this information, be sure to provide it in a timely and presentable manner. Do not ever lie about your circumstances, because this can only hurt you in the long run. The mortgage broker uses this information to get a deal that fits within your financial situation. If you lie about your income, you could possibly be out of your comfort zone with a mortgage that is just too much for you to handle. The last thing you want to do is get a mortgage that you can not satisfy and risk going into foreclosure.

2. Demand Good Service
You are the mortgage broker’s client and you should realize that they should provide you with the best service possible to keep your business. Do not allow them to rush through the process or put your deal on the back burner. If this happens, tell them you want to be treated well and deserve good service. There are many mortgage brokers that would love to have your business. You have the control and can always change brokers if necessary. Get the service you deserve.

3. Research the Mortgage Process Before you Meet with the Broker
It is always a good idea to go into this situation with a little knowledge behind you. You do not have to know everything about mortgages and the mortgage process, but understanding mortgage rate terms and the roles behind the people who get you your mortgage can expedite the process as well as protect you against wrongful doing. Of course if you have any questions about the mortgage, be sure to ask the mortgage broker and get a clear understanding. They are there to inform and help you.

4. Don’t do the Paperwork on your Own
The paperwork for a mortgage can be messy, and you might get a little confused. Allow the mortgage broker to do his or her job. They know the paperwork and what is needed to complete it. They have a much better chance of getting the information right, so let them do it or help you. However, never let the paperwork go unrevised by you. Make sure all paperwork is correct and read every word before you sign!

5. Follow Up
Mortgage brokers can get busy and have many people to attend to. You can help by staying in contact with them and follow up as needed through each of the steps of the process. A simple phone call, email or letter can keep the mortgage broker on track as well as inform you exactly of the status of your mortgage. You can request that they notify you of every step as well, as it is complete or changes.