Finding a mortgage lender in California is not as difficult as some homebuyers think. The key is to know what you’re searching for and meet with at least 3 lenders so you can choose the one that best suits your needs. Just follow these steps and you’ll be well on your way to both the home and financing of your dreams.
Look for Letters, Not Titles
As pointed out by Forbes Magazine, bank and lending agencies frequently hire people with sales experience rather than financial expertise to capture mortgages. Mortgage lenders are essentially selling you money, and salespeople are quite good at it.
This makes it important to ignore fancy titles like senior loan officer and mortgage specialist.
Instead, look for someone who holds a CPA license or an MBA in finance. These people have the financial training to help you mortgage well.
Don’t Assume In-House is Best
Homebuyers often assume that the mortgage company with an in-house agent is best. This might not be true.
Lending agencies like having space at the real estate office because it supplies a steady stream of customers. The real estate agent likes having the lender in their office because they pay to be there.
Do your homework and shop around rather than just assuming the in-house lender is your best option.
Referrals from any friends and family who have recently purchased a home are a great place to start when looking for a mortgage lender in California. If they’re unhappy with their lender, they’ll make sure you know it and avoid them.
Ask your accountant and financial adviser for an opinion too. Their clients work with mortgage lenders often and they may know which companies are most favorable.
Read the Fine Print
Always look past the rosy picture that mortgage lenders paint and scour the fine print. If you see problems or warnings, keep looking for a lender. Don’t believe excuses about industry standards and common practices. If something really is standard, you’ll see it in every lender’s fine print. If you don’t, then it’s not standard at all.
The key to finding the right lender is simply to take your time and ask lots of questions. Make sure you understand everything, including what happens to interest rates and other loan attributes if closing is delayed or the home’s appraised value comes in lower than asking. As with other important decisions, ask questions and shop around.