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What type of mortgage lender should you choose?

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What type of mortgage lender should you choose?

When you're ready to buy or refinance your home, you'll need to decide on what type of lender to chose. The choices you have are a Bank, an Online Lender, or a Local Lender. I've had the opportunity to work at all three types of lenders, so I wanted to share my opinion, based on my personal experiences, on each as well as cover their differences.

Banks
Probably the first thing that comes to your mind is working with your Bank. Your accounts are there; your car loan is probably there too so it would be logical to think that this would be the first place to start for a mortgage.

The problem with banks is two-fold. One, their lending guidelines are stringent. If you do not fit precisely into their ‘mold,' and most of us do not, you cannot close a loan with them. They offer no room for exceptions or compensating factors either. You either fit their mold, or you don't, period. Most of the loans I close are ones that my client's Bank previously denied.

Two, Banks do not specialize in mortgages. They concentrate on deposit accounts primarily, but in addition to that offer car loans, signature loans, and credit cards to name a few. A mortgage is the most significant financial transaction you'll ever make. Having someone involved in that transaction that doesn't specialize in mortgages is somewhat scary to me.

Online Lenders
In this digital age, another thought would be to work with one of the online lenders. You know the ones I'm talking about, they advertise everywhere. Why wouldn't you work with an online lender, it's so easy right?! Well, not really.

Online lenders are all about their technology. They advertise how great their technology is by suggesting that all you have to do is click a button to close your loan, or, with just a few more clicks you can get approved in minutes. Here's the thing; that's all a load of crap. There is no way a computer program, no matter how much it's advertised, can approve and close your loan correctly. Why? The reason why is mortgages are done for people, who are all individuals with individual and unique credit and income scenarios. I don't care how much money a company spends on technology; it's impossible for that computer program to consider and analyze the all the loan aspects that are specific to just you. Only an experienced loan officer that is a real person can do that.

Online lenders use all this technology to churn volume through their system. It doesn't matter if they miss the mark on your loan; because they have hundreds more closing that month. I think that stinks.

Local Lenders
Again, being the most significant financial transaction you'll ever make, you're going to need a reliable open line of communication with a seasoned mortgage professional; someone who you can talk to and work through your specific credit details. Your best option to close your loan quickly and efficiently is a local lender.

Local lenders are just that; they're local. You can reach them seven days a week, and you can call them on their cell phones. Local lenders are not large corporations; they're small companies that specialize in only one thing; closing mortgage loans. Unlike the large corporations and lenders, they don't have thousands of loans in process at one time. Local lenders have controlled, manageable volume and as such never consider you a number. You are always their #1 priority, and they're right by your side through the entire loan process.

Having worked elsewhere previously, I've now worked for a local lender for six years. I live for seeing the smiling faces of my clients at the closing table. There is nothing more rewarding than helping my clients achieve their homeownership dreams.

Even if you don't work with me, I highly recommend that when it's time for your home loan that you choose a reputable local lender to handle your mortgage for you. Going with a local lender is the only way you'll receive the personalized service you deserve and need.

If you're thinking about getting a mortgage and have questions, feel free to contact me. I'd be happy to help!

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Contact Wendy 7 days a week for more information:

Phone or Text: 321-794-5626
Office: 321-757-5009
Email: info@aloaninthesun.com
Facebook Messenger: @aloaninthesun


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