Your mortgage lender can have a significant impact on the success of your home purchase and the overall cost of your loan. Here are 6 tips for finding the right loan officer and the most important questions to ask them:
- Start by getting recommendations: One of the best ways to find a good loan officer is to ask for recommendations from people you trust, such as friends, family, or professionals, such as a real estate agent, CPA, or financial advisor.
- Research their background: Find them on social media to get an idea of their background, their experience, and how they operate. Look for someone who has a proven track record of success and is well-respected in the industry. Bonus points if they specialize in a loan type that you are seeking (For example, I specialize in VA, but have never done a USDA loan before. So I'm going to provide a better experience for veterans than I would for rural borrowers)
- Shop around: It’s a good idea to meet with and get quotes from at least three different loan officers to compare rates and fees. Almost all lenders can price match if you can provide a fee sheet from a competitor (I'm not supposed to say that, but it's the truth). Quick tip: If your credit is pulled multiple times within 30 days, it only counts as 1 hard inquiry.
- When you get quotes, don't just look at the rate - look at the APR as well. The APR is the interest rate, plus lender fees. For example, say you receive quotes from 2 lenders. They both offer an interest rate of 6%, but Lender A shows an APR of 6.05% but Lender B's APR is 6.10%. This proves that lender A is charging you more fees for the same rate as Lender B. I wrote an in-depth article that goes over this topic here:
- Consider customer service: In addition to the loan officer’s knowledge and expertise, it’s important to consider their soft skills as well. You’ll be working closely with your loan officer throughout the mortgage process, so it’s important to find someone who is responsive, helpful, and easy to communicate with. When I bought my first house, it was impossible to get a hold of my loan officer after 5pm, Monday-Friday. My wife and I both worked during business hours, so this made communication extremely difficult. We switched lenders to someone who was accessible throughout the day, and had a significantly smoother experience.
- Ask the right questions: When meeting with a loan officer, it’s important to ask the right questions to get a sense of their knowledge and expertise. Some of the most important questions to ask include:
- What type of loans do you specialize in?
- What is your process for helping clients get approved for a mortgage?
- Can you provide references or reviews from past clients?
- How do you communicate with clients throughout the loan process?
- What kind of service or support do you provide after closing, if any?
By following these tips and asking the right questions, you can find a loan officer who is a good fit for your needs and will help you navigate the mortgage process smoothly.
If you are looking for a loan officer and would like to consider me as an option, you can start an application here. Or, if you'd like to chat before doing so, feel free to email me at [email protected] or schedule an appointment here. You can also view my customer reviews here.
If you are looking for a real estate agent, I can refer you to someone I've worked with directly, or tapping into my network to find an agent for you in your local market. I am not compensated for referring real estate agents.
Sam Fickel, Loan Officer, NMLS #1874259 | PCL Financial Group is a division of Celebrity Home Loans, NMLS #227765 | For licensing information, go to: www.nmlsconsumeraccess.org | www.celebrityhomeloans.com
