When mortgage shopping, what should you do to get the best interest rate and loan terms?

Asked by Trulia New York, New York Tue Jan 29, 2013

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Javier Menes…, Mortgage Broker Or Lender, Melville, NY
Tue Jan 29, 2013
BEST ANSWER
I think that all the best things you can do to get the best rate possible happens before you even shop for a mortgage. By saving as much as possible towards down payment and making sure your credit balances are low and all your bills paid on time, will put you in a position to obtain the best mortgage rate and terms.

i also tell people to NOT shop interest rates alone, but rather shop for the Loan Officer and/or mortgage company you feel will provide the best service along with fair rates. i've seen many people who go for a particular company simply because they offered the best rate, which almost all the time is not much different than what other banks offered, but yet have problems closing loans. You have larger banks who offer lower fees and rates, but is not willing to approve your loan because they're extrmemly conservative, then on the other side you have companies who are willing to take all the risks in the world to approve your loan but fees are through the roof. Find something in the middle, a bank whose menatlity is "every loan matters", a bank or Loan Officer who is known for working with Realtors and homebuyers, and delivers. This assures that the people you're working with see a variety of situations and have the experience necessary to deliver good service to a homebuyer. There is no way you'll get that over the internet or a phone.

Javier Meneses
NMLS #23130
Senior Loan Officer
Sterling National Bank
jmeneses@snb.com
1 vote
, ,
Sat Nov 16, 2013
It would best to work with a mortgage broker as they would have the flexibility to shop around with different lenders for the best interest rate and loan terms in your situation. There is no universal best interest rate and loan terms as every borrower situation is different because of credit, income, down payment etc.. Once your own situation is analyzed mortgage broker can get the best rate and terms but reducing their compensation to win your business. You can easily determine broker compensation from the Good Faith Estimate. Under the current laws mortgage brokers have the ultimate burden of being transparent when disclosing fees, loan terms, rates etc.

You can contact me to discuss.

Sanjeev Ahuja NMLS # 148731
Mortgage Broker
Home Funding LLC
110 Jericho Turnpike Ste 214
Floral Park, NY 11001
Direct Ph 917-517-2552
NYS Registered Broker, Department of Financial Services, Loans Arranged through third parties NMLS # 885573
0 votes
Jacques Ambr…, Agent, Forest Hills, NY
Tue Jan 29, 2013
Easy answer is shop around. Just make sure to compare what you are getting. Some mortgages come with points (sometimes called origination fees), while others do not. I would reccomend staying away from adjustible mortgages unless you are not planning to stay for a long period of time.
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