Get to Know Your Mortgage Loan Officer

For many people looking into getting a mortgage in the current economic climate, the main characteristic they look for in a mortgage loan officer is trust. A mortgage is a huge decision, one that will affect your life in years to come. Your mortgage loan officer will be a large part of the process in applying for and being approved for a mortgage and also determines which mortgage product you should apply for.

What Can a Mortgage Loan Officer do for Me?

Many people decide to use a mortgage broker when applying for a loan. When you walk into a bank you cannot be sure you are getting the best deal. It's also difficult to tell which mortgage is the right one for you. A broker helps people feel more comfortable; a mortgage loan officer can show you the benefits and features of many different loan products and help you decide which mortgage is the best for you. Perhaps the best thing about using the services of a mortgage loan officer is that they will negotiate with lenders on your behalf. Did you know that you can barter with the bank to get achieve better mortgage interest rates and lower fees? Well you can. A loan officer will approach a bank and sell you to them, so to speak, so they want your business. This way you can get a better loan that will cost you lets in interest and fees in the loan term. A loan officer will look at more than just mortgage interest rates. While they are important there are many other parts of the while product that should be considered before you make the decision to apply for a mortgage. For instance, there are often a variety of fees and charges attached to a particular product. Some loans with a low interest rate will bump up the fees to make up for this. Some may offer a low interest rate, but charge you a substantial fee if you want to sell the home or refinance further down the track.

What should I look out for in a Mortgage Loan Officer?

Keep in mind that a mortgage loan officer is not making their money off you; they are making it from the bank. This means that some loan officers could be biased to get you to sign up with a particular bank or for a particular product as they will get a bigger commission from it. Similarly, a loan officer may not sign you up for a product that could suit your needs because they do not get a commission. Not all loan officers are dishonest in this way, but some are. If you do decide to use the services of a loan officer, schedule an initial meeting first so you can get to know them a little bit better. Go to the meeting with a list of prepared questions. Make sure you have done some research, even if you just do some reading on the internet, a little bit can go a long way. Ask them how long they have been working as a mortgage broker, and if they have affiliation with any particular banks. It's OK if they do, but if they sign you up for a particular product with that bank, make sure you read the fine print before you sign. If a broker does have an affiliation with a particular bank it can actually be a good thing. In these situations they can get better deals and quicker processing times if they send a bank a certain amount of loans. In either case, it is a good idea to keep your eyes open. You may like to ask the mortgage loan officer if they have any client testimonials that you can read, or even ask to speak to a past client. This is a good way to get a feel for the kind of service that they will provide. Beyond asking questions and your own research, the only way to seek out a good loan mortgage officer is your gut feeling. Do they make you feel safe and secure and like you are making a good decision? Or do you have that feeling in you gut that something isn't quite right? If you do, then it's time to make another meeting and see a different broker. Knowing as much as you can about the mortgage process is the true key to getting a good deal. The more you know, the better the loan product you will end up with. Ask lots of questions and do lots of reading. Remember, this is a huge step and it is one that will be part of your life for many years to come. Putting some time and effort in now will pay dividends for years to come.

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