Question: What Should I Ask My Lender?

What do I need to know before I talk to a lender?

Five Things You Need Before You Talk to a Mortgage LenderState Identification and Social Security number.

Every mortgage lender will need to see state identification, such as a copy of your driver’s license, and your Social Security number to pull your credit report.Verification of income.

Verification of employment.

Copies of asset statements.

Strong credit score..

Who makes more money loan officer or realtor?

Loan officers work in the financial industry while real estate agents, also known as real estate sales agents, work in sales. Loan officers require more formal postsecondary training, earn a notably higher salary than real estate agents and currently have better job prospects due to a faster job growth rate.

How many credit inquiries is too many?

Statistically, people with six inquiries or more on their credit reports can be up to eight times more likely to declare bankruptcy than people with no inquiries on their reports. While inquiries often can play a part in assessing risk, they play a minor part are only 10% of what makes up a FICO Score.

Does a Good Faith Estimate mean you are approved?

Receiving a Loan Estimate or “Good Faith Estimate” does not mean you’re approved for a mortgage. As the CFPB puts it, “Loan Estimate shows you what loan terms the lender expects to offer if you decide to move forward.”

Should I talk to bank or realtor first?

The sooner you provide a lender with your documentation, the sooner you can receive a pre-approval letter. Pre-approval makes buyers more attractive to sellers and real estate agents alike, as it shows you’re serious about buying a home, and have the financial backing to do so.

Why do Realtors recommend lenders?

Some agents choose their preferred lenders because they get deals closed quickly and reliably. That’s also good for buyers, but the missing element in this equation is the loan cost. The in-house lender may feel that they have you “buttoned up” as a customer. They may feel they no competition for your business.

Can I make 2 loan applications?

Whilst it’s possible to apply for several loans from different companies at the same time, there’s a good chance it will ruin your credit score and your chances of getting a credit in the future. … Multiple loan applications can actually make it more difficult for you to obtain credit.

What is a good mortgage rate right now?

Current Mortgage and Refinance RatesProductInterest RateAPRConforming and Government Loans30-Year Fixed Rate2.5%2.609%30-Year Fixed-Rate VA2.25%2.424%20-Year Fixed Rate2.5%2.656%6 more rows

What should you not say to a mortgage lender?

Here are some crazy things would-be home buyers have said to lenders, and why they’re cause for concern.’I need to get an extra insurance quote due to … … ‘I can’t believe how much work the house needs before we move in’ … ‘Please don’t tell my spouse what’s on my credit report’More items…•

Does your realtor know your finances?

Your Realtor does not need to know your credit score or how much money you make. He or she does need a pre-approval letter from your loan officer and a statement showing that you have enough money to cover the downpayment and closing costs (sometimes referred to as Proof of Funds).

How many offers should you request from a lender?

However, applying with too many lenders may result in score-lowering credit inquiries, and it can trigger a deluge of unwanted calls and solicitations. There is no magic number of applications, some borrowers opt for two to three, while others use five or six offers to make a decision.

How many lenders should I talk to?

The Federal Trade Commission suggests, “Different lenders may quote you different prices, so you should contact several lenders to make sure you’re getting the best price.” But what does “several” mean? Aim to get at least four mortgage rate quotes — but get more if you can.

Can you negotiate a mortgage rate?

Yes, you can try to negotiate the interest rates presented by the lender. … Generally speaking, well-qualified borrowers have more negotiating power than those who are marginally or poorly qualified for a home loan. You can also use prepaid interest points to negotiate a lower mortgage rate from the bank.

Can you switch lenders after pre approval?

If you’ve been preapproved for a loan and a home seller has accepted your bid, do you have to stick with that lender? No — unless you’ve signed a contract with the lender that states you can’t switch lenders. But such a stipulation is uncommon, real estate experts say.