Mortgage Shopping 101: Finding the Best Deal

Your mortgage loan is probably your biggest debt. But the good news is that with rates still low, you have an opportunity to save some serious cash.

“You’ve gotta be patient. And it tends to force you not to be patient because of the excitement and the anticipation. But it’s very overwhelming but if you follow the path, patiently you can get it done and there’s a lot of reward at the end.”
-Todd Link, Homeowner

Attorney Todd Link’s talking about home-buying process… specifically the process of finding mortgage money: something that should happen long before you see your first house. How do you shop for a loan?

Online is one place to start your search: there are lots of websites out there to help you compare rates and fees from various lenders.

But don’t stop there: check banks or credit unions you’re currently dealing with… especially one you’ve borrowed from before. Check with friends… and your Realtor.

Be sure to shop APR, or annual percentage rate, not just the rate. Because the APR includes some of the fees you’ll be paying. And as you talk to potential lenders, remember the numbers are the main thing… but not the only thing.

“If it’s not somebody you can work with… and I’m not just talking the hard-core numbers, I’m talking about the interpersonal relationship between you and your mortgage broker… I just don’t think it would work.”
-Todd Link, Homeowner

So long before you start your house-hunt, start your mortgage hunt. Get as many names as you can from as many sources as you can think of.

Now once you’ve made a list of the lowest APRs, it’s time for the next step: calling these lenders and pitting them against one another so you get the best possible deal. Stacy will show you how he personally did this just recently… in our next report.

Disclosure: The information you read here is always objective. However, we sometimes receive compensation when you click links within our stories.

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