How to shop for mortgage lenders?
First time buyer here. I just received a preapproval letter from the lender our agent recommended. Should I do something as simple as just taking this letter and sending it around to other lenders, asking if they can beat the rates? More specifically for people in Seattle area: do you have any recommendations for lenders? Already checked out Caliber, 1st Security Bank, and a local credit union. Any and all advice would be greatly appreciated. Thanks in advance. TC 500k
It's pretty straightforward. Just go do what you just did x3-5 and compare.
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I see. And I don't have to worry about multiple hard inquiries on my credit, as long as I do them all at the same time, correct?
If you have amex card, they work with Better mortgage/ Rocket mortgage to provide 2000$ credit. Better mortgage do price match, you can first quote some more lender( big / small ) to get a loan estimate with lower rate. Then require price match from better mortgage. This could save you some closing money.
You can also try a mortgage broker
Depends.. new construction? Use preferred lender of the builder. Existing home? Don’t use a big name lender. Check with each lender for the incentives they offer, such as covering x amount of percent of closing costs (most do since it’s competitive right now).
Also read reviews of who services the mortgage (ie who you pay). You don’t want to end up with a company that has a shitty website and no customer service.
And take it with a grain of salt because that servicer will likely sell it to another.
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Check rates on bankrate.com( does not need to login or provide your personal data) and then call the cheapest lender.
First Republic just opened a branch in Bellevue and are doing loans in the area now. Can give you more details if you want to DM. Happy to at least walk you through the process to help get the best rate whether it is with First Republic or someone else.
Why would you shop for mortgage lenders now instead of shopping after you have an accepted offer?
You might be forced into a contract with a tight timeline, like 30 days or less to close. It’s better to have a lender picked out now who is ready to move asap once your offer is accepted. Not to mention you will need at least a pre-qual letter to make any offer that is contingent on financing. You can always continue shopping lenders after your offer has been accepted if you’re not happy with the rate you got or you think you can find better.
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