If you’re in the process of looking for a home to purchase, or if you’re interested in refinancing your mortgage into one with a better interest rate or better terms, you have many choices. There are a lot of mortgage brokers out there, and all of them are happy to help you obtain a new mortgage. But before you select just anyone to work with, it’s important to spend some time interviewing potential mortgage broker candidates. Choosing an experienced, knowledgeable and dedicated mortgage broker is essential.
There is no rule that says you have to commit to the first mortgage broker you meet. By asking a few questions during your initial conversation, you will be able to determine if the broker is right for you.
Following are four questions to ask mortgage brokers before selecting the one you are going to use. Make sure you feel comfortable with his or her answers, and that he or she seems dedicated to finding the best possible mortgage to meet your specific needs.
- What type of mortgage do you think is right for me? The mortgage broker you choose should spend time telling you about different available options. If the broker spends a bit of time talking to you and learning about your situation, he or she will be more able to provide you with information about possible mortgage options that are good choices for you.
- How long will it take to process the loan? If you are told that your loan will take longer than 45 days to close, that should raise a red flag – unless there is a legitimate reason for a long processing period.
- What fees will I pay for my mortgage? As a requirement, the lender will provide you with a Good Faith Estimate within 3 days of accepting your loan application. However, you might want your mortgage broker to explain the estimate to you in detail. Make sure your broker is willing to go over the details with you so that you completely understand everything.
- How will I know what type of paperwork my lender needs – and when? The best mortgage brokers are organized. If you feel as if you’re not being given proper or adequate instructions on how and when to submit paperwork, you should be concerned!
As mentioned at the beginning of this article, there are many, many mortgage brokers that all want your business. But before selecting just anybody, do your homework. Interviewing mortgage brokers before committing to one can make all the difference. You want to have a good experience, and you don’t want your home purchase to fall through at the last minute.