Things You'll Need:
- Computer with online access
- Email address and/or phone
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Step 1
Determine what type of mortgage loan you’ll get. If at all possible, avoid ARM loans and interest only loans. Unless you’re planning to move within five to ten years, it makes sense to get a 30-year fixed loan. Not only does it lower your payments with a longer amortization period, but it also makes your payments more stable, as your payments won’t be subject to interest rate increases in the future.
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Step 2
Read about loan terms and current mortgage rates. Get familiar with common loan terminology and know what current rates are in today’s market. Do your homework to get a better understanding of the mortgage loan options available.
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Step 3
Write down a series of questions for lenders and mortgage loan brokers. With a ready-made list of questions, you can be certain that you’ll be consistent in asking the same questions. Then take notes -- write down their responses and compare all your options. Find the lender with the best mortgage loan package with the best interest rate, fewest points, longest lock in period, and minimal other fees.
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Step 4
Get mortgage loan quotes online and offline. Check your existing bank to see if they can give you a better deal for being a current customer. At the same time, go to websites like LendingTree to get multiple mortgage loan quotes from several brokers and lenders at once. You may get some preliminary quotes and then the brokers will contact you to answer any other questions you have. See the Resources section at the end of this article for helpful websites for mortgage loan quotes.
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Step 5
Compare your mortgage loan quote offers. When you’ve gathered the information on several lenders from several brokers, review each one and rank them according to their competitiveness. Consider the bank’s reputation as well as the interest rate and overall financial savings for each mortgage loan quote.
