How Do You Choose a Lender? 

When you buy a property, you need sufficient funds. Generally most people procure their funds by obtaining a loan. Loan terms, rates and product types can be substantially different from one lender to another lender.  Do you want to know what types of loans you are qualified for? How do you choose the lender that is right for you? Here are some questions that you need to ask lenders. 

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General Questions: 

  • What are the most popular mortgages you offer? Why are they so popular?

  • Do you have any special benefits or programs available to your mortgage loan customers?

  • Can you provide a written summary of all of your loan terms and closing costs? 

  • Are your rates, terms, fees, and closing costs negotiable? 

  • Do you offer discounts for inspections, homeownership classes, or automatic payment setup? 

  • Will I have to buy private mortgage insurance? If so, how much will it cost and how long will it be required? 

  • What escrow requirements do you have? 

  • What kind of bill-pay options do you offer? 

  • Do you do remote closings? 

  • Could you please explain the process of closing? 

  • What type of loan program makes the most sense for me?

Specific Questions: 

  • What would be included in my total mortgage payment (homeowner's insurance, property taxes, etc?) 

  • Which type of mortgage plan would you recommend for my situation? 

  • Who will service this loan--- your company or another bank? 

  • How long will the rate on this loan be locked in? Will I be able to obtain a lower rate if the market rate drops during the lock-in period?

  • What information do you need from me in order to obtain loan approval? 

  • How long will it take to close the loan? 

  • Are there any charges or penalties for prepaying this loan? 

  • How much will I be paid over the total life of this loan?

  • Do you have any upfront fees or charges that I have to pay as part of my loan application?