| New homeowners must look for mortgage lenders | | | | could save you a lot of money over the life of a |
| and information on that subject. There are many | | | | mortgage. You'll want to do some research to get the |
| different kinds of companies of mortgage lenders. | | | | right one. |
| They include bank mortgage lenders, other lenders | | | | A mortgage is one of the biggest decisions of your life |
| (mostly various types of finance company mortgages), | | | | and it involves the largest financial transaction you will |
| and vendor 'take-back' mortgage lenders. | | | | probably make, so you need to be sure that your |
| As a safe practice, you should always go through the | | | | mortgage lender is reputable. A low rate is good, but |
| process of 'pre-approval' with a bank or other | | | | you need to understand whether this low rate is |
| mortgage lender. The process confirms your credit | | | | guaranteed and for how long, especially if you are in |
| rating; provides you with the information about kind of | | | | the pre-approval process. Don't just assume a certain |
| interest rate you might expect to pay; and how much | | | | program will be right for you, and remember to budget |
| you can afford to spend. | | | | for closing costs. Closing costs can be between 2 to 6 |
| The major differences between a bank, a credit union, | | | | % of your purchase, depending on your lender's fees |
| and a finance company is the interest rate you pay, | | | | and other factors. |
| the services that are included, and whether you will | | | | Remember to close toward the end of the month as |
| qualify with the lender for a mortgage. It would be | | | | upon closing, your lender will charge you prepaid |
| prudent to check up on the different options you have | | | | interest for the date the loan is recorded through to |
| in terms of the lenders and the various schemes they | | | | the end of that month. Also, always read the fine print |
| offer. Even a difference of few percentage points | | | | and check for hidden fees. |