Hiring Your Home Team: Selecting the Perfect Lender
Buying a home is a major decision, and finding the right mortgage lender is a critical step in the process of building your home team. With so many options out there, it’s essential to ask the right questions to ensure you’re making the best choice for your financial future. Below are some key questions to ask any mortgage lender you’re considering.
How Long Have You Been in Lending?
Experience matters. A lender with years of experience is likely to have navigated various market conditions and can offer valuable insights. Don’t just take their word for it—check out their license number. A lower number often indicates they’ve been in the business longer.
Do You Have a Team?
Ask if they work alone or have a team. A team can often provide more comprehensive support, ensuring someone is available to assist you even if the main lender is busy. This can make a significant difference in how smoothly your mortgage process goes.
Are You Available Nights and Weekends?
Real estate transactions don’t always happen during regular business hours. It’s important to know if your lender is available to answer questions or address concerns during evenings and weekends. This flexibility can be crucial, especially in a competitive market.
Do You Offer Full Pre-Approvals or Pre-Qualifications?
Understanding the difference between pre-approvals and pre-qualifications is important. A full pre-approval is more thorough and gives you a stronger position when making an offer on a home. Ask your lender which option they offer and what’s required.
Are You Local, Online, or with a Bank? What Are the Differences?
Local lenders often have better knowledge of the market and can provide more personalized service. Online lenders might offer convenience, but may lack the personal touch. Banks can provide a mix of both but may have stricter requirements. Discuss the pros and cons with your lender to see what fits your needs best.
What Is the Mortgage Process Like?
Each lender may have a slightly different process, so it’s important to ask how theirs works. Understanding the steps from application to closing will help you feel more confident and prepared as you move forward.
How Do You Communicate Throughout the Process?
Good communication is key. Ask your lender how they will keep you updated throughout the process. Will they call, email, or text? How often can you expect updates? Clear communication can reduce stress and ensure you’re always in the loop.
What Happens After Closing?
Your relationship with your lender doesn’t end at closing. Ask about post-closing support. Will they service your loan, or will it be transferred to another company? Knowing what to expect after closing can help you avoid surprises down the road.
You should also consider researching the following items before making a decision.
Check Their License Number
Lastly, verify their license number. It’s a good way to confirm their legitimacy and experience. You want to make sure they are in good standing. Also, keep in mind, the lower the license number, the longer they’ve been in the industry.
What Do Their Reviews Say?
Before committing, take the time to read Google reviews, check out their social media profiles, and visit their website. Reviews from past clients can give you a good idea of what to expect. Look for patterns in the feedback, both positive and negative.
Final Thoughts
Choosing the right mortgage lender is a crucial part of your home-buying journey. By asking these questions, you’ll be better equipped to find a lender who meets your needs and can guide you smoothly through the process. Always take the time to do your research and trust your instincts. A good lender will be happy to answer your questions and provide the support you need to make your dream of homeownership a reality. We recently recorded a podcast on this very topic so if you want to hear more in depth information, check the episode out >HERE.