5 Unexpected Costs of Choosing the Wrong Mortgage Company
October 31st, 2019
October 31st, 2019
When it comes to choosing a home loan, you are looking for the product which is going to save you the most money and keep homeownership as simple and manageable as possible. But how much thought have you put into choosing a mortgage company?
The most obvious consequence of picking the wrong company to work with is that you may not be matched with the most affordable mortgage.
But there are other costs of choosing a company which is not an ideal fit for you as well. Following are some consequences which choosing the right Indiana mortgage company can help you avoid.
1. Not finding the most suitable type of loan.
First-time homebuyers often focus most on searching for the most affordable mortgage rates without considering some of the other costs involved with buying a home.
It could be that a specific lending product such as a USDA, FHA, or VA mortgage would be the most affordable option for you in terms of far more than just interest rates.
If you do not choose a mortgage company that offers a wide variety of lending products, you might miss out on the chance to save thousands of dollars over the term of a loan.
Plus, some types of mortgages are also arguably simpler and more manageable in general than others.
If you qualify for a VA mortgage, for instance, you do not have to buy the private mortgage insurance (PMI) which might be required for a different type of loan.
Not only does eliminating PMI save you money, but it also is one less bill to keep track of every month.
2. Paying more in closings costs and fees.
The closing costs and fees which you need to pay when you sign on a home loan can range significantly not just from one type of loan to another, but from one lender to the next.
This is another area where working with the right mortgage company can save you thousands of dollars and make it easier to purchase a home now instead of waiting.
3. Missing your deadline to close.
Not every mortgage company is capable of meeting every deadline. During your consultation, the mortgage company should be completely transparent with you about the expected timetable for completing the loan process.
If a company does not expect to be able to meet your timetable or is not clear about expectations, it is best to move on to another, even if that lender had some competitive features and products. Nothing able to close on time could make your purchase fall through.
4. Dealing with unnecessary stress and complications.
Purchasing a home, refinancing, or consolidating your debts does not need to be stressful. In fact, the lending process can and should go as smoothly as possible, even if you have a non-traditional income scenario, a low credit score, or face another barrier.
A big box lender that doesn’t have an individualized lending process and which does not communicate well can make home buying unnecessarily complex and challenging. But a lender who loves solving problems, working around obstacles, and customizing the loan process will make the process simple and pleasant.
5. Not getting the long-term support you need and deserve.
A lender or broker should never be focused only closing a loan with you now—they should be focused on building a long-term relationship with you for the future. The mortgage company that is right for you will continue to follow up and help you meet your financial goals over the lifetime of your mortgage.
Reading this post should not only help you figure out what the true long-term benefits are of picking the ideal mortgage company, but also hopefully help you understand our values as a company.
We handle every customer’s loan process uniquely, matching you with the loan which will be most affordable and convenient for your needs, and we hope that we will be your lifetime mortgage company.
To schedule your mortgage consultation with us today, please call (317) 255-0062. We are excited to connect you with your ideal loan.
We provide our clients with exceptional service and integrity which has become our hallmark.