| Unless you have the money, most people have to get | | | | you want, negotiate the best deal for yourself. The |
| a mortgage in order to purchase their home. | | | | prices of any loans can change at anytime. Negotiate |
| Therefore, it is important to thoroughly research a | | | | with the lender or broker. They have a certain amount |
| lender before signing on the dotted line. The following | | | | of leeway for negotiation. Ask the lender or broker to |
| are five tips on what to look for when shopping for a | | | | write down all the costs associated with the loan. Then |
| lender. | | | | ask the lender to waive or reduce some of the costs. |
| Tip#1 Research Several Lenders | | | | After you are satisfied with your negotiation, and then |
| There are many home loans that are available from | | | | have the lender/broker write-up a lock-in. The lock-in is |
| many different lenders. From commercial banks to | | | | a document that lists the rate of the agreed upon loan, |
| credit unions, you are bound to find a home loan that | | | | and the fees charged. |
| suits your needs. It may be beneficial for you to speak | | | | Tip #4 Remember the Law Is On Your Side |
| to a mortgage broker, since they have access to a | | | | The Fair Housing Act and the Equal Credit Opportunity |
| vast array of lenders and their prices. It is important to | | | | Act prohibits lenders from discrimination. You, the |
| note that brokers are not obligated to find the best | | | | consumer can not be refused a loan based on these |
| deal for you, unless they have contracted with you. | | | | laws, nor be charged more for a loan or offered less |
| Thus, when working with a broker it is advantageous | | | | favorable terms. Another reason why you should |
| to talk to several brokers before hiring one. | | | | negotiate the best deal for yourself - you have nothing |
| Tip #2 Gather All Cost Information | | | | to lose. |
| Before you get a home loan, find out the cost of the | | | | Tip #5 Bad Credit You Can Still Get A Good Deal |
| loan. As you are gathering information from several | | | | Just because you may have poor credit does not |
| lenders and brokers, find out how much their loans | | | | mean that you can not negotiate the best deal for |
| cost. Know the amount of the down payment that you | | | | yourself. If you have information on your credit report |
| can afford. Discuss with every lender and broker their | | | | that you have substantial explanations and proof as to |
| rates, points, fees and down payments for all the | | | | why the delinquency, then show this information to the |
| home loans they offer. | | | | lender/broker. Don't assume that the only way to get a |
| Tip #3 Get The Best Deal | | | | loan if you have bad credit is by paying a higher price. |
| Knowledge is power. Once you know what mortgage | | | | Shop around and negotiate the best deal. |