Let me know if you have any questions.
#1 Listing and Selling Agent
Keller Williams West LA
Where you may save is that a Mortgage Broker may be able to find a loan for you that a local bank doesn't offer or you can't qualify for. Also Brokers get loans at a wholesale rate instead of the retail rates that Banks charge the people who come into their brick and mortar buildings. They may be able to pass along those rates to you.
Senior Loan Officer
Spectra Financial Home Mortgage
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to contact me... But, only if you are not in contract with another agent ... How exciting; where are you looking and what price range?
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It doesnt matter if you will use a mortgage broker or a bank direct, you will still pay the fees.
Sorry to tell you that.
That would depend if your mortgage broker is charging you a point. You can find out what is the interest rate at par and how many points the mortgage broker is charging. Avoid any mortgage broker who is charging more than one point. This point is either paid by your or the lender who is giving you the money. Be sure to review the good faith estimate for accuracy and make sure the mortgage broker locks in the loan rate when you find a home because you don't want another person to gamble with your money.
One mortgage broker I can recommend is Tom Cortesi with Home Services Lending. Tom's website is here: https://www.homeloans.com/loans/tom-cortesi/index.page
Richard Johnston, Rodeo Realty
When you use a mortgage broker, you may be charged a orgination fee along with a processing fee, but you can still be charged this when using the bank directly. There will always be fees when getting a mortgage loan. When you put in a offer on a home, ask for the seller to credit you either all or some of the closing costs. What you are looking for in a mortgage broker is the lowest rate for the lowest fees. Mortgage brokers are able to shop around and go to hundreds of different banks to find you the best deal. When you walk into the bank and ask for a loan, they just tell you what it is with no choices. Never pay more than 1% orgination fee for a loan. You can also ask for a good faith estimate so you can see what the charges might look like.
Any more questions, feel free to call me and I can explain more. Remember you are working as a team with your Realtor, lender, and yourself.
If you need more info. on the matter let me know and good luck to you.
In the absence of any of the above and depending on the location of your purchase, you might ask in your offer that the seller pay up to 3% of your non-recurring closing costs, which should cover your loan fees.
The buyer pays the points to the broker, either up front or through a higher interest rate on their loan. Mortgage brokers also usually have higher fees across the board. Of course if you negotiate it, you could get the seller to pay this, but this is a negotiation and not standard business practice.
I have a different opinion than my colleague. If you have great credit then going with a direct lender will usually save you money (both in up front fees and over the life of the loan) and speed up the funding process. You should comparison shop, at the very least. Also, if you are a first time homebuyer, not all lenders know all the programs you might qualify for. If you want more information on these programs and some guidance on finding a lender to help you, please feel free to contact me.
Good luck in finding a great home at a great price and Dare to Dream.
Real Estate Consultant
RE/MAX Palos Verdes Realty
All my best,
The Chance Team
Keller Williams Realty Studio City
818 339 7712