“I’m looking to refi my condo and I’m calling lenders out of the phone book trying to find the lowest rate. Can you recommend me the lender you think has the lowest rates?”
Answer:
STOP!
Shopping rates is NOT the way to find your lender. Here’s why:
1. There’s more to a loan than interest rate. Other variables you must consider are points, fees, loan type, lock-ins, prepayment penalties, amortized vs. interest only, and much more.
PLUS, if you get a loan that adjusts at any point, there’s another long list of variables like index, margin, start rate, caps, and more.
2. If you’ve ever dealt with an inept lender, you know how much of a headache it is, whether or not you ever get your loan.
3. Unfortunately, some lenders quote low rates to get you in the door. Then later when you’ve invested time and money, they find an excuse to explain why they can’t get you that low rate. BUT they will happily make you a loan at a higher rate. Surprise! It’s called “bait and switch.”
So yes, I’ll be happy to recommend an honest, skilled lender to you with competitive rates. Will they quote you the lowest rate? I don’t know, but they’ll be honest with you and actually deliver what they promise. Call me at (858)457-KENT.
