Using Online Brokers
Whether you are looking for a mortgage for the first
time, or are looking to refinance an existing mortgage
or take out a second mortgage, there is a good chance
you have at least considered using an online mortgage
broker. The task itself sounds reasonably easy, find
a broker website and input your information, and watch
the offers pour in. However, there are some things you
should remember when looking for an online broker.
First, make sure the online mortgage broker you are
considering offers a wide range of loan products from
a variety of different lenders. This assures that you
actually will get the best deal possible. It is only
common sense that the more options from which to choose,
the better your chances of finding the one that is right
for you. The point is not to settle for an online broker
essentially is a ‘lender’s agent’
You will also want to check your online mortgage broker’s
qualifications. Ask if they have references or belong
to any trade organizations. Also ask how long they have
been in business. These questions will let you know
that the broker you choose is reliable and experienced.
Just like when you make a purchase offline, you want
your online broker to know what they are doing.
You’ll also want to know if the broker you are
considering charges a fee. While some brokers charge
an upfront fee for their services, others do not. Unless
there is another very good reason for you to choose
a broker that charges a fee, you will want to go with
an online broker with no fee required.
Finally, you should find out if your broker will be
there for you after the loan closes. If you have a dispute
with your lender, will the broker be there for you,
or will you be forced to go it alone? Does the broker
offer any other services after the loan has closed?
All other things being equal, you want to choose a
broker that will be available to help you even after
you have closed.