Let’s face it unless you’ve got years of experience and insight, the mortgage and lending process can be complicated, even downright daunting. The result is that there has been a steady stream of myths developing around mortgage brokers and their work. Here at The Mortgage House, LLC., we’re committed to a transparent lending process, ensuring that our customers understand their loan and make sound financial decisions. In keeping with this commitment, we’ll debunk some of these common myths.
You Only Need To Work With A Mortgage Broker If You Have Bad Credit
This myth just simply isn’t true. If you have bad credit, or even if you have great credit, working with a mortgage broker can ensure that you’re provided the best possible mortgage for you, your circumstances, and your needs. If you have bad credit and are in need of a loan, sometimes a mortgage broker may be more willing to work with you than a bank. If you have great credit, you benefit because your broker will find you a lender who can offer you the best rates or mortgage terms.
My Bank Can Offer Me Better Terms Than A Mortgage Broker
In many cases, this is more wishful thinking than myth. If you’ve been a customer of your particular bank, you expect them to offer you fair rates on a loan. But that’s not always the case, and in fact, many banks offer their customers rates that are far higher than they need to be. Trusting your bank could mean that your spending more money than you should be. By working with a mortgage broker, you can shop around for a loan with rates that work best for you. In some cases, that might be your bank, but don’t rely on them immediately.
Mortgage Brokers Will Cost You More
Many believe that by using a mortgage broker, they’ll be tricked into a mortgage that has higher interest rates or is riddled with hidden fees. Others believe that a mortgage broker might convince them to take out a mortgage that is larger than what they need so that the broker can receive a larger commission. While this might make sense to some, the reality is that the mortgage broker process is not set up to reward scams or cons like this. Mortgage brokers have to explain why they chose the loan amount that they did for their client when they approach a lender. Additionally, the client themselves has the chance to review all the mortgage terms and rates, and compare it to their understanding of mortgages.
Mortgage Brokers Will Limit Your Mortgage Options
Some fear that by partnering with a mortgage broker, that their broker will only show them mortgages that are larger than what they need. Similarly, they fear that the broker will only show them mortgage options from the broker’s favored lenders. The reality is that this is not only false, it’s impractical. Because every customer’s needs and circumstances are different, mortgage brokers need to have a wide selection of lenders and mortgage options available to them. This allows them to better meet the needs of their customers.
While these myths may be common, that doesn’t mean they are based in fact. At the end of the day, mortgage brokers are dedicated to your financial well-being and success. This is especially true here at The Mortgage House LLC. Serving the Fayetteville area, we’ve made it easy to work with our mortgage brokers with our online application process, and our friendly lending experts. Stop by today, or call us to schedule an appointment. Find the right mortgage for you, and connect with The Mortgage House today!