How do I pick a good mortgage broker for a home loan?

Answer 1

Amy has no clue as to what she's talking about. You can get a better rate from a broker because the are wholesale lenders not retail.

You have to deal with someone at a direct lender. They charge what they want as well.

The best way to find a broker is through a referral from a friend or family. Get a Good Faith Estimate from several brokers.

Answer 2

Amy and Kim are right - I am a real estate broker and I use both. Mortgage brokers are good if you have special needs because they can shop their lender base for non-traditional products. Examples include bad credit loans, low doc loans, 100% financing, etc. Banks offer traditional mortgage products but also have traditional requirements most of the time - some banks are beginning to offer more products to remain competitive with brokers but they are still a little conservative. In my experience, banks have better rates and closing costs tend to be lower - get a good faith estimate from both and compare the numbers. I recommend you let the bank and the broker know they are in competition with each other.

Answer 3

A mortgage broker is like a middle man, they find lenders with loan programs to meet your needs. Because they are a middle man, they make a profit in the middle, and as a result, your closing cost fees are higher. If you have decent credit, or even fair credit, go directly to a lender. Your current bank is your best bet, or any of the big banks out there can help you as well. Ask the mortgage lender for a good faith estimate of fees and compare those with the interest rates and pick the one that meets your needs. You can do the same with brokers, but their closing costs are always higher. Good luck - hope this helps!

Answer 4

Look around and compare rates.....I would try your local bank and a couple of mortgage brokers ...see who can get you the best deal and the best 'fit' for you situation. You might want to ask friends or relatives and see if they used someone they were happy with that they can recommend. Just take you time, compare rates and fees and ALWAYS make sure that you get a Good Faith Estimate from everyone. If you do not understand something on it ASK them to clarify. I work for one of the top 3 brokerage companies in the country and my advice is free... www.1stmetropolitan.com. Please email me if you need anything....its free advice..!!

Answer 5

Talk to friends who have moved or refinanced lately to see who they can refer to you to. Also, shop around with several brokers and maybe a bank to see how they compare.

Edit: Also note that low fees aren't always good. Often brokers can get you a lower fee by raising you rates. Your mortgage is expensive, do you want to go with something sheap, or someone reliable?

Answer 6

in many cases circulate with the aid of a broking provider in case you have a undesirable credit and/or won't be able to get financing with the aid of a financial employer. They value a sprint greater yet your certain a loan via fact they're in touch with banks everywhere in the rustic. The broking provider does each and all the artwork for you. in basic terms verify you ask alot of questions and are suggested of all expenditures earlier signing something via fact some brokers will rip you off or attempt and alter the circumstances at final. You legally have 3 days after signing to alter your strategies.

Answer 7

Try banks first. Their closing costs are usually less. If your credit is bad, and you can't get financing, then go to a mortgage broker. I would use them as a last resort.

Amy does know what she is talking about.

Answer 8

Shop around, see which one offers you the best interest rates and lowest fees.

Answer 9

do a background check on-line and ask friends, family, co workers who they used and if they liked or disliked what they got for the money they paid.