You’ve worked hard for your money. You pay your bills on time and have a great credit score. You have a generous savings account at the local branch of your bank, where the staff know you by name.
Is there a world in which you wouldn’t make the smartest, best money move when buying a new home – usually the most expensive purchase of your life? It may be hard to believe, but yes there is!
This is the exact description of a segment of borrowers critically underserved in the mortgage world. That’s because they have existing relationships at a local credit union or bank, where they think that as a loyal customer, they’ll get the best deal or the best range of options, so they never look further.
But how can you possibly make the best choice if no one’s taken the time to unpack the wide range of strategic scenarios that will help further build your wealth? Or if someone doesn’t even have access to those products?
A report by the Consumer Financial Protection Bureau discovered that almost half of mortgage borrowers surveyed seriously considered only one lender before applying for a mortgage. The study found that mortgage rates on a conventional 30-year fixed-rate mortgage vary by more than half a percentage point – a difference of as much as $72,000 over the life of a $500,000 mortgage loan.
But the actual rate is only a small part of the picture. It’s the strategy that counts, and that’s where licensed mortgage bankers shine. It’s like the difference between a GP and a surgeon.
Who Would You Trust with the Knife?
- Because mortgage bankers only provide mortgages, they can streamline their process much better than a bank, meaning your loan can close quicker, which is a key in a competitive real estate market.
- Mortgage bankers are licensed, receiving extensive annual training, a national exam and an exam for each state in which they practice. Bank and credit union loan originators are not subject to these requirements.
- Mortgage bankers have access to a wider range of loan products than a full-service bank or credit union. Your friendly neighborhood banker may not have access to super jumbo mortgages, extended lock terms, low down payment mortgages, VA loans or other products that could have been leveraged to your advantage.
Are you being underserved? Find out! Talk to a S.M.A.R.T. (Strategic, Mindful, Authentic, Results-oriented, Timely) mortgage lender.