1. Focusing on the interest rate. While the interest rate is very important, it’s also important to understand the total cost of your mortgage and the costs associated to taking out a home loan.
2. Not thinking outside the box. Most borrowers simply get a 30-year loan, when they will probably stay in a home for only a fraction of that time. For the same house payment, many borrowers could end up getting more house for their money or save hundreds of dollars each year, just by matching their home loan with their homeownership plan.
3. Failing to ask about the rate lock-in process. Interest rates can change in a matter of weeks, days or even hours. Speak to your mortgage consultant about the rate lock-in process and request a written lock agreement.
4. Not comparing quotes from closing agents and title companies. In many areas, borrowers have the right to choose between title companies and closing agents, and the fees charged by both are negotiable. But don’t forget – the least expensive agent may not always be the best.
5. Assuming a 20% down payment is standard. Most borrowers believe that a 20% down payment is needed because of either bank requirements or preconceived ideas about how much is needed to buy a home. Today’s mortgage products give you more options.

Whether or not it makes sense to refinance depends on many factors. The questions you need to ask yourself are, first, how long will you be in your home, and second, how does the interest rate you’re paying today compare with market rates. Our mortgage consultants can help answer these questions and work out a scenario to see if refinancing is a good option.

If you’re planning to sell or buy a home, it’s best to use a reputable real estate agent. Mortgage consultants work hand-in-hand with experienced, professional agents every day and can be an excellent referral source. Ask your mortgage consultant today if they would recommend a real estate agent in your area.

Did you know that being pre-qualified by a mortgage lender may save you money? By having a mortgage consultant analyze your financial situation before you go house hunting, you can feel confident shopping for a home you know you can buy! And with a variety of loan programs available, you may be able to get a lot more home for your money. A good mortgage lender should be able to pre-qualify you for a home fairly quickly. When you do find the right house, there’s always a chance that you may be competing with other buyers to get the home. If the seller knows you have been pre-qualified for a loan, you will have a greater advantage.