Save $2,000: Talk To More Than 1 Mortgage Lender – Today’s Mortgage and Real Estate News

My palms are sweaty, knees weak, arms are heavy This is Dan on your inside team at Growella

It's Friday, May 11, 2018 Welcome to today's Mortgage Minute-and-a-Half I don’t know why Marvel hasn't gone and print advertisements on the Hulk He's pretty much just a giant banner And they could print a PSA for buyers of home: shop with multiple lenders

It's not just a motto, friends It's a way of life New data from Freddie Mac shows that a typical home buyer will save $2,000 on their mortgage by giving an app to a second mortgage lender And, they'll save more by talking a third And, more by talking to a fourth

Instinctively, we know this We comparison shop a lot of this Except here's the thing with mortgages Consumers don't shop A recent government survey showed that seventy-seven percent of people in need of a mortgage stopped comparing lenders after giving their first application with a lender, which means that seventy-seven percent of buyers probably paid too much

And, when the study went deeper, it showed a positive correlation between a person's knowledge of home loans and their likelihood to comparison shop lenders Which actually means: The less you know about mortgages, the less likely you are to shop around And, that's unfortunate because, as a buyer, you deserve the best mortgage rate you can get, and the best loan for your needs And, for that, you'll need to talk to two or more lenders Mortgage rates are moving lower into the weekend

Interest rates for conforming, FHA, VA, USDA and Jumbo are all moving lower, which means the answer to How Much Home Can I Afford is changing Your personal rate quote will vary by loan size, credit score, and state of residence, and by your property type and about twelve other factors, too Your choice in lenders makes a difference as well because studies proven that consumers get the best mortgage rates and terms when they talk to more than one lender So talk to more than one lender Got it? Got it

You know your game of Monopoly is getting serious when someone asks for game directions, and you know your mortgage application's getting serious when your lender asks for documentation As in verifications Verifications of income, verifications of employment, verifications of your savings and monthly obligations And the best thing you can do — as the one who wants the loan — is to get your lender what they ask for, and nothing more, right at the time of request Remember: lenders want to approve your loan because that's their business

So, if they ask for two paystubs, send two paystubs because they need it for your approval If they ask for an updated bank statement, send an updated bank statement because they need it for an approval They wouldn't ask for it if it wasn't needed And, send only what's requested, by the way If you send more than what's requested, your lender can't throw that paperwork away

They'll have to review it, and that can lead to more questions and more documentation, which can slow down your processing, affect your closing date, and cause you to lose your mortgage rate lock And that would be bad So, be responsive to your lender and the papers they request The loan approval and the mortgage rate you save will be your own Growella does timely and relevant mortgage news three times weekly and we do a fun, live session each Thursday at noon eastern

So, put a like on it, leave a comment, and, hey, you know why Waldo wears a striped shirt? Well, you know he doesn't want to be spotted