How to Choose the Right Mortgage Banker for You

We don’t like to brag, but your Mortgage Banker is by far the most important person in your homebuying journey. 

Ohh-kaay, maybe that’s not quite true. Many hard-working folks are part of the transaction. But finding the right Mortgage Banker (which, jokes aside, you should do first to get preapproved before you start your home search) is a crucial step in getting the best loan for your needs. 

But there are so many Mortgage Bankers (aka lenders or loan officers) out there, so how do you find the right one for you, with the right company backing them? Here’s a checklist to help you decide. 

Ask Around 

Perhaps the best way to find a great lender is to ask your family and friends. You’ll get an honest report, and the Mortgage Banker will appreciate the referral and work hard to make sure they’ve earned your business. 

It’s also smart to check online reviews to hear what other buyers are saying. You’ll get a good feel for a lender’s reputation (are most reviews good and consistent?) and customer satisfaction (are they attentive and polite when you call?). You can also review their company websites for information on rates, terms, and fees. 

That said, the rate is not the only thing you’re “buying.” Loans vary according to many different factors (like your own credit and income) and will differ from lender to lender. You’ll also want a company that aligns with your needs and values. Maybe you want a Mortgage Banker who specializes in VA loans. Or you might be happier with a slightly higher rate from a small, family company that volunteers in the community. 

Location and Communication 

Although you can use any lender licensed in your state, it’s good to stay local. Not only can you meet in person, but a Mortgage Banker in your area will understand the markets as well as neighborhoods, schools, and the local taxes and government. 

But with your busy schedule, it’s not always easy to meet even a local lender in person (at Atlantic Bay, we love talking face to face!). Luckily, with today’s technology, many Mortgage Bankers commonly use texts, video, and chat programs to keep you informed so you can review rates right at your kitchen table and don’t have to take time off from work or family to meet in an office. Whether you’re an experienced homebuyer or a first-timer, look for a Mortgage Banker who will communicate with you as much as you need in the ways that best suit you. 

Loan Products

You might think a Mortgage Banker’s products would be their most important “quality,” but truth be told, most lenders carry a similar list of offerings across the standard Conventional, FHA, VA, and USDA categories –  so  the Mortgage Banker doesn't have much control there. 

But if you’re looking to buy using a more niche loan - for example, a jumbo loan to purchase a luxury property or a bank statement loan to qualify with self-employment income – that's when researching and asking lenders questions about their actual products will be important. 

Transparency 

Once you’ve found several lenders you like, it’s good to have them run numbers with you for a Loan Estimate. The process never, ever costs you anything, nor does the actual application. A good Mortgage Banker will show you all estimated costs and fees associated with the mortgage and give you options and advice to consider, rather than push you in a certain direction. And remember, it’s perfectly OK to take those estimates to other lenders for a comparison. 

When it comes to all those numbers, even experienced homebuyers can find mortgages confusing. You’ll want a loan officer who communicates clearly and promptly, never leaving you waiting for answers. They should be willing to answer your questions and explain the loan process in a way that you can understand. 

Finally, go with your gut. If you have great chemistry with a lender and feel comfortable with their approach, that may be more important than getting the lowest possible rate. This person will be guiding you through one of the biggest purchases of your life, so you want to know they’ve really got your back. 

At Atlantic Bay, we want every client to become a friend for life. We hope when you look for the right Mortgage Banker for you, you’ll give us a call!