We quit searching high and low for a much-obsessed-over house buying guide. Because, unfortunately, one…
If you’ve been finding it hard to choose a mortgage, you’re not alone. Home loans are one of those adult hoops everyone encounters inevitably.
Signing a mortgage deal can be one of the most important decisions a person can make in life. There are many things you will need to consider: the different mortgage and interest rates, the mortgage lender, and the loan term, among many others. The best home loan for each borrower is out there somewhere, and the challenge for all of us is how to connect with it.
These days, it’s a good thing you can always get some help from a mortgage broker. Whether they are called mortgage brokers or mortgage advisors, these are licensed financial professionals who will be able to do most of the legwork for you at a small fraction of your loan cost. Using a mortgage broker can even give you some savings, especially if you don’t have the time to shop around for a mortgage deal yourself.
In this article, we’re going to talk briefly about why it will be to your advantage if you can sign for a home loan through a mortgage broker. We’re also going to name some of the best mortgage brokers you can find in this industry, as well as list some tips on how to spot a good broker on your own.
Remember, your mortgage decision is yours to make. Everyone who wants to buy a home for their families deserves all the help and advice they can get.
Benefits of Hiring a Mortgage Broker
1 – Improve on your credit score
Working on your credit score takes time, but your mortgage options don’t have to be limited to what you think your credit score can afford. It does make a lot of sense to think that the mortgage deal you get hinges on your FICO rating. But at the end of the day, it truly comes down to how many offers you can get from various lenders.
Even now, there are loan programs that can present mortgage opportunities for people with a FICO score of 500. Having a mortgage broker at your side will help you widen your search not to leave any stone unturned. They’ll be able to answer your questions in a way that a bank loan officer might not be allowed to and find you better rates that you might not find on your own.
2 – Mortgage brokers advocate for you
It is important to note here that not all mortgage brokers are the same. If the 2008 Global Financial Crisis is of any indication, you are bound to encounter one or two brokers who might engage in unethical practices. But getting the services of a mortgage broker can mean taking advantage of their existing relationship with several industry partners.
Mortgage brokers will have a whole phone book of mortgage lenders they can easily call and negotiate with for a good deal. Such mortgage rates and fees might not be offered to you otherwise. It will be easier for loan officers to reject your loan application outright, especially if they don’t have this connection with you. But if you have a mortgage broker advocating for you, the mortgage application process will feel more like a piece of cake in your dream home journey.
3 – Connects you with the right lender
Aside from there being less than ideal mortgage brokers you can encounter, there are also many scrupulous mortgage lenders you might want to be wary of. However, as it can already be a challenge to find the best mortgage loans, it is similarly all the more challenging to connect with the best mortgage lenders that might be right for you.
A mortgage broker’s experience will be able to steer you clear from such businesses so that you only see the offers of lenders you should be doing business with. Your relationship with your mortgage lender will far outlast your relationship with your mortgage broker, making it all the more important that you find the best one for your home purchase.
4 – Allows you to focus on what matters
When you’re searching for the best deal as far as home loans go, even when you’re not yet spending money, you’re already spending a lot of resources. We all value our time differently but what everyone sure appreciates is how much time they can save when doing a particular task.
Apart from that, mortgages can also be stressful, especially if you have many other responsibilities to think about. Some people are still saddled with student loans, yet some people worry about mortgage insurance. With strains like these on your mind, you’ll definitely do well working with a mortgage broker who will not only do the legwork for you but will help you every step of the way, explaining the several complexities of mortgages in a way that will make more sense.
Just do yourself this favor so that you can focus on the future you’re building instead.
Recommended Mortgage Brokers
According to a study, by 2004, the country had more than 53,000 mortgage brokerage firms in the industry. These are businesses with even more thousands of mortgage brokers in their employ.
Today, you might be able to find as many independent mortgage brokers as those who work for particular companies. But as it might be easier to find definite reviews for specific companies with set ideals, here, we are compiling a shortlist of mortgage brokerages that are definitely worth checking out.
These businesses have an A+ rating at the Better Business Bureau, arranged in no particular order.
With over 27 years of experience, Prince Financial Corp is a family-owned mortgage brokerage that promises to find you a home loan, whatever your financial scenario looks like. They have two offices in California: one in Bakersfield and another in Kernville. If you require assistance with a home purchase in California, Prince Financial Corp may be able to give you the quality of service you are looking for.
On the other hand, if you are buying a home through an FHA, VA, or conventional loan in the State of Texas, Nabers Mortgage Inc might be the mortgage broker for you.
According to their website, “Nabers Mortgage also provides a lender credit in which the lender will pay all the borrower’s closing costs and prepaid escrows.” Sweet!
Every borrower deserves a mortgage broker who is not only in the business to make money. Integrity Lending takes “the time to provide the necessary information about your mortgage loan because only a well-informed client can make the best decisions.”
This mortgage company gives you the option to complete the whole loan process over the phone at your convenience. If you’re purchasing a home in Maryland, give them a call!
Many brokers might tell you that they were inspired to go into this career to help Americans get closer to their dreams. But not all brokers you will encounter will have such glowing reviews that say, “When I first met Lee, he was very energetic and was just as excited as I was about starting my business. He believed in me! That meant a lot.”
Hard Money Global is the type of company that will make it their mission to help you get funding no matter how “bad” you think your credit is. With over 13 years of experience in the Detroit industry, you can be sure to widen your loan options with this mortgage company.
How to Find a Good Mortgage Broker
Considering the many thousands of these financial professionals practicing in the country, we cannot list as many recommendations for all 50 states. However, we can still help you in choosing the right mortgage broker through these tips.
- If you have run dry of your family and friends’ recommendations for a good mortgage broker, another good set of people to ask are real estate agents. In fact, if you eventually choose a mortgage broker recommended by the real estate agent of the home you are buying, this might give you a better edge in the negotiation process.
- Like mortgages, however, it is necessary to shop around for mortgage brokers. If you have the available time, you might find it to your advantage to interview as many as three. From these applicants, you’ll be able to compare lengths of experience and the number of contacts in the industry.
- Make sure that you get a broker’s NMLS number. This will ensure that your mortgage broker is licensed and has paid a bond that will protect you from unseemly practices.
- There will be brokers who have previously worked as loan officers for specific lenders. Whether they have or do not have this experience, they must inform you of their work history so you can be better guided as to their intent. Remember, brokers get paid by commission, and brokers may work exclusively for one lender without your knowledge. It may be necessary to do a background check.
We hope we were able to shed some light on your home loan queries. This is indeed an intricate matter that will require a lot of your attention. However, with the right person assisting you, you get a better chance of finding your way as you compare and contrast different lenders.
Keep your chin up! And we wish you a wonderful journey!