Online Mortgage Purchasing Tips
While purchasing a mortgage online may be less common
or more difficult than through traditional means, there
are still a number of tips that can make the process
easier and more likely to work for you.
The following tips will allow you to get the best deal
possible and prevent you from falling prey to a scam
or other bad business practices:
• Educate yourself about the mortgage process.
There are several ways to accomplish this goal. Many
websites offer comprehensive information about the ins
and outs of the mortgage process. If you prefer something
in hard copy, there are also a variety of good books
available on the subject. If you learn better by listening
or interacting, you might consider attending a mortgage
seminar, class, or workshop.
• When choosing an online mortgage broker, make
sure the broker is licensed and regulated by your state.
You should be able to accomplish this step by searching
your state’s website. Choosing a broker licensed
by your state can have the affect of ensuring you will
have a legal remedy in case something goes wrong with
• Make sure to check out the lender’s credentials,
as well. While it is important to be able to trust your
broker, the lender is the entity that actually finances
and underwrites your loan. You will want to verify your
lender’s status with the Federal Deposit Insurance
Corp. (FDIC) or other federal agencies before choosing
that particular lender.
• Take full advantage of online technology in
your mortgage shopping process. Shop around with online
brokers, brokers who exist both online and at a physical
(brick and mortar) location, and traditional brick and
mortar brokers and lenders. You’ll be able to
find out what the best available rates and terms are
Offline lenders understand that online brokers can
offer very competitive prices, so letting them know
what you have found online could spur them to offer
you a better deal.