There are a number of questions all buyers should ask their lender. These tips provided by Fritz Pfister of RE/MAX Professionals, providing successful solutions for buyers since 1987. Please feel free to print this list and take it along with you when you visit potential lenders.
- Based on our situation what looks to be the best program for us? Why? What is the projected time for processing and closing a loan?
- If PMI (Private Mortgage Insurance) is required, when and how does it go away?
- About your: Rates, Terms, Fees. Are they negotiable?
- What standard underwriting guidelines do you follow? Are there any special underwriting guidelines?
- What is your most popular program? Why?
- Who services your loans?
- Six months to a year from now, what will make this loan look good/bad to most borrowers?
- What are your standard and specials fees?
- What, if any, Escrow requirements exist?
- What if rates go down during the “lock-in” period?
- Who is our contact person after application for progress reports?
- What, if anything, do you need from us to get our loan approved?
- Do you have any concerns about our ability to get a quick loan approval?
- A Tip from Fritz. There’s an old saying “Never borrow money from anyone you can’t put your hands around their neck.” My advice is to use a local lender with a real live person sitting across the desk from you. We have experienced too many internet and long distance loans go bad. Use whom you want, but in person service is always more responsive.
