So, you’ve finally decided to pull the trigger and buy your first home? Congratulations! Homeownership is a rewarding experience and you’ll learn a lot during the buying process. Now that you’re ready to get started, the first step you’ll need to take is finding a Colorado mortgage company that meets your needs. Below, we’ve listed some questions you should ask when shopping around.
What to Look for in a Mortgage Company
A good mortgage company can guide you through the process of buying your first home and help you get a good interest rate on your mortgage. When choosing a mortgage company, you can opt to go with either a local lender or a bigger company. Each has their pros and cons, but in general you should look for a mortgage company that’s:
- Reputable and has a good track record
- Provides good customer service and is communicative
- Is competitive with their rates and fees
Questions to Ask Your Mortgage Company
Finding a good mortgage company will require some effort on your end, but if all goes well, it will be worth it! It’s important to do your homework and shop around. Don’t jump at the first offer you get. Otherwise, you’ll never know what’s out there! Here are some questions you can ask Colorado mortgage companies to help you make comparisons:
1. What Types of Loans Do You Offer?
Mortgage companies vary in terms of what they specialize in and the programs they offer. For example, certain companies specialize in working with VA borrowers while others are better at handling conventional loans. You’ll want to find a lender that meets your needs. That’s why this should be one of the first questions you ask so that you know right away if the conversation is worth pursuing further.
2. What Kind of Fees Do You Charge?
Closing costs vary from one lender to the next. You should know upfront what your closing costs will be so that you can work them into your budget.
3. What Are Your Credit Score Requirements?
Just because you have bad credit doesn’t mean you’re totally out of luck. There are lenders out there that work with borrowers who have low credit scores. But, before you proceed further, you should know what the credit score requirements are for a particular lender.
4. What Will My Interest Rate and Payments Be?
Interest rates change daily. However, you’ll want to get a rough idea of where interest rates stand and what your monthly payments will be. Remember, your payments will depend on the current interest rate, home purchase price, and how much you put down. You should also ask if they offer rate locks. A rate lock prevents your interest rate from increasing before the closing of your loan in case the market changes.
5. How Do You Communicate with your Clients?
This is a big one. You’ll want to know that if you have questions, your mortgage company will respond quickly. You should ask about their turnaround time for messages and emails. It may also be a good idea to ask about their preferred method of communication.
Contact Our Colorado Mortgage Company
Mortgage Solutions Financial is an experienced mortgage company in Colorado and has helped countless individuals achieve their dream of homeownership. Call today to speak to a representative who can help you get started with the process.