Get Pre-Approved For A Mortgage.
When shopping for a mortgage, we’d encourage you to compare mortgage quotes from different mortgage lenders. Have conversations with several different lenders who are recommended to you by your friends, family or agent, but only allow one to pull your credit -- having multiple lending officers pull your credit history can acutally hurt your credit score! Aspects that you should pay attention to while shopping for a mortgage:
It's important to pay attention to rate trends in your state. You can see what current rates are at in your state and nationally . Although you shouldn't shop on the rate alone, a lower rate can save you a significant amount of money per month and thousands of dollars over the life of a loan.
Do you want to pay points? Borrowers sometimes pay "discount points" to reduce the loan's interest rate. It may make sense to buy points if you're planning to stay in the same home and not refinance for a long period of time. You should talk through your options with the lender you choose to work with.
Different lenders will charge different fees. Do you want to pay no fees and minimize your upfront expenses in exchange for a higher APR? Typical fees charged by lenders could include an origination fee, appraisal fee, credit report fee, tax-related service fee, underwriting fee, FHA upfront premiums, etc.
It's very important to pay attention to reviews of the lender you are considering working with and see what kind of service they have delivered to other clients. Reviews that you will find online are left by past and current clients of the lender, so they're a good indicator of the type of service you can expect.