What to look for when searching for a mortgage lender
What to look for when searching for a mortgage lender
If you’re considering the purchase or a refinance of a home in North or South Carolina, you’re fortunate to have several choices when it comes to your mortgage lender. But what to look for when selecting a mortgage lender? The first step is to understand that our marketplace provide three main categories for mortgage lending – banks, mortgage brokers and mortgage bankers.
Banks will originate, underwrite and fund your loan. The advantage of working with a bank is they sometimes have a specialized loan program that others do not. The shortcomings can be that they have one set of underwriting guidelines and do not shop your rate, thus possibly not being able to approve your loan or being less competitive.
A mortgage broker acts as a middle man by matching borrowers up with lenders/banks. The advantage of working with a broker is that by working with a variety of lenders they may have a wider range of underwriting guidelines and may be able to offer a lower rate. A potential downside of working with a broker is they aren’t in complete control of the process because they don’t underwrite or fund your loan, the lender does.
A mortgage banker, like Cunningham & Company, is a hybrid of the two. Like a bank we underwrite and fund clients’ loans. This allows you to feel confident that by having control over the process we’ll fulfill our commitment to you. After closing we will transfer your loan for servicing – in other words to the company who will accept your mortgage payments. The terms of your loan do not change with this transfer. Because of our relationships with other banks and lenders, it allows us to have a wider range of underwriting guidelines and shop your rate. This means that you have a greater likelihood of receiving a loan approval at a lower rate and cost.
Choosing a lender should be a combination of who will provide the best mortgage strategy in a timely manner for a fair price and with excellent service. We are often recognized as providing all of these to our clients and it would be my pleasure to demonstrate our unique approach and outstanding service. Contact Rebecca at http://rebeccamadej.com to discuss your mortgage options and assistance with choosing the best strategy to fit your needs.
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Category: Mortgage broker
