Mortgages - Outside the Box!

A few minutes ago, we talked about some of the best strategies for saving money when you get a mortgage.

And one of them is shopping around, going to several different lenders instead of just one.

So now let's dive a little deeper into that strategy and look at where to shop around.

Now sure, an excellent starting point is your bank, the one you already use.

Give them a shot because if you've been a customer for a few years, that loyalty could possibly pay off.

Some banks offer existing customers a discount on home loans, but some don't.

Even so, it's good to find out.

And the fact that you're already a customer might make it an excellent place to start.

Next, definitely look online.

You've probably heard that some of the biggest mortgage lenders in America have no physical offices at all because they're entirely online.

Give them a try too and see what kind of rates and what kind of terms they will offer for you.

And also talk to a local credit union, either one that you already belong to or one that will allow you to join.

Most credit unions have one big advantage over national banks and online lenders, and that is they're usually located right there in your community.

So when you tell a lender that you're interested in a house just a few blocks off Main Street, chances are they'll know exactly what you're talking about.

And that local touch means a lot.

Credit unions are investing in their communities, and that might mean good news for your mortgage.

And now, once you've talked to three or four lenders, don't be shy about playing them against each other.

If one offers a better rate, ask the others if they can match it.

Some banks will compete that way and offer to match or beat the competition.

But other banks won't because they don't compete at all.

But you should give it a shot because remember, if you can get your rate down even a quarter point, that will save you a ton of money.

Now remember, when I talk about shopping around for a mortgage, I'm recommending you try different types of lenders.

I'm not saying any certain one is the best for you.

Only you can find that out.

But by shopping around, you're taking a huge step towards getting the best and the most affordable mortgage for you.