Proceed with caution when looking at these low mortgage rates online. What you see is not always what you will get. Lenders advertising these low rates are doing a great job because they are getting you in the door by making their phones ring. Be careful when seeing these advertisements.
A past client of ours recently had this happen to them. We completed a mortgage analysis and review their options for a refinance, then we provided them with a quote. Once they reviewed, they decided to take a look at a rate that was being offered online. So, they went online to a MAJOR website where lenders advertise for your business (mind you this is not free for those lenders).
After they received the online quote from this website, they got redirected to the lender’s website and then proceeded to call. They were asked the same questions that were asked on the online form, which was also the same criteria and credentials they provided to us. Now this is when the “advertised” rate ended up being a non-existent rate. The lender ended up quoting them the same rate as us. They asked the lender why there was a difference from the quote offered online and the quote they just received. The lender was unable to give a viable explanation for the difference and unable to offer the same rate as the original online quote. This was disconcerting and the client immediately lost faith in this lender and returned to have us lock in their rate. You see being honest and upfront is a double edge sword when so many of us are trained to think “rates” can be gravely cheaper elsewhere. If someone had a magic money tree wouldn’t everyone want it?
Bottom line, you can’t always believe what you see online, TV, or hear on the radio. Make sure you are getting the real quote vs. an online quote. It is always better to work with someone who is upfront and honest the first time and won’t put up a smoke screen,telling you everything you want to hear, just to “get” your business. Hold your standards to a high bar after all this is the largest piece of debt you will take out. Trust who you work with and feel confident in their abilities. You should expect nothing less than 5-star service.
When you are comparing lender rates you need to know your FICO score. Don’t trust free credit scores, they are not your FICO scores. The best way to get your FICO score is to pay for it at each credit bureau. If you are not wanting a lender to pull your credit, then you need to have accurate,current FICO scores. Bear in mind FICO score is only one facet of many that determine the rate for you.It is also a good idea to make a list of the qualities you are looking for in a lender. Yes, we can all agree that you’re wanting the lowest rate/fees. Just keep in mind that not all that glitters is gold. Especially when we hear the horror stories as panicked clients call us to save their deals. If it sounds too good to be true, it probably is. Make sure to research the other qualities that are equal if not even more important, such as customer service, communication, trust, honesty, and timeliness.See how other people have fared with the lender online.
If you would like to research your options or have any questions, please contact us. We always work with honesty and integrity every step of the way. After all, we are only as good as our last client thinks we are.