Recommendation of mortgage lender

Hi, everyone, could anyone recommend a mortgage lender? And what are the differences between lending from big national banks (Chase, BOA, Wells Fargo) vs from mortgage companies?

I would like to get a pre-approval for mortgage. Not sure where the market is going, but I think it never hurts to get a pre-approval, so I know my price range and can grab the deal when it appears.

Thanks in advance.
 
talkirvine said:
Hi, everyone, could anyone recommend a mortgage lender? And what are the differences between lending from big national banks (Chase, BOA, Wells Fargo) vs from mortgage companies?

I would like to get a pre-approval for mortgage. Not sure where the market is going, but I think it never hurts to get a pre-approval, so I know my price range and can grab the deal when it appears.

Thanks in advance.

PM Soylent Green is People (SGIP).
 
USCTrojanCPA said:
talkirvine said:
Hi, everyone, could anyone recommend a mortgage lender? And what are the differences between lending from big national banks (Chase, BOA, Wells Fargo) vs from mortgage companies?

I would like to get a pre-approval for mortgage. Not sure where the market is going, but I think it never hurts to get a pre-approval, so I know my price range and can grab the deal when it appears.

Thanks in advance.

PM Soylent Green is People (SGIP).
I would highly advise you to talk to SGIP.  Have done several loans with him and not a single time he disappoints.  The only thing I regret is not knowing him earlier. ;D
 
talkirvine said:
Hi, everyone, could anyone recommend a mortgage lender? And what are the differences between lending from big national banks (Chase, BOA, Wells Fargo) vs from mortgage companies?

I would like to get a pre-approval for mortgage. Not sure where the market is going, but I think it never hurts to get a pre-approval, so I know my price range and can grab the deal when it appears.

Thanks in advance.

check out the rates at Zillow mortgage
 
talkirvine said:
Hi, everyone, could anyone recommend a mortgage lender? And what are the differences between lending from big national banks (Chase, BOA, Wells Fargo) vs from mortgage companies?

I would like to get a pre-approval for mortgage. Not sure where the market is going, but I think it never hurts to get a pre-approval, so I know my price range and can grab the deal when it appears.

Thanks in advance.

I think Chase has a pretty low rates overall. They also provide pre-qualification which is an assuring statement that the loan will fund 100% instead of a soft pre-approval letter (Not a sponsored message). I personally haven't used Chase for the mortgage loan, but I've heard good stuff from others.

I think Wells Fargo has a bad reputation for taking forever to get the loan.

Those larger banks usually have more strict limitations. For example, if you are buying a home in a community where there is a litigation going on in their HOA, then they usually won't allow loans until that issue is settled.


 
Mety said:
talkirvine said:
Hi, everyone, could anyone recommend a mortgage lender? And what are the differences between lending from big national banks (Chase, BOA, Wells Fargo) vs from mortgage companies?

I would like to get a pre-approval for mortgage. Not sure where the market is going, but I think it never hurts to get a pre-approval, so I know my price range and can grab the deal when it appears.

Thanks in advance.

I think Chase has a pretty low rates overall. They also provide pre-qualification which is an assuring statement that the loan will fund 100% instead of a soft pre-approval letter (Not a sponsored message). I personally haven't used Chase for the mortgage loan, but I've heard good stuff from others.

I think Wells Fargo has a bad reputation for taking forever to get the loan.

Those larger banks usually have more strict limitations. For example, if you are buying a home in a community where there is a litigation going on in their HOA, then they usually won't allow loans until that issue is settled.

SGIP may disagree but I would say generally the large banks have the least competitive rates/fees.  Why?  Because they don't have to compete on rate/fees because of their brand recognition and the fact that many of their existing banking customers will apply first with them for a mortgage.

If you want the best possible service, Quicken has won the most awards and has a great reputation. 

If you want the lowest possible rate/fees, I would suggest searching on Bankrate for the lowest advertised APR (a calculation that amortizes the fees into your rate, giving you the "total cost" you can use to compare to other lenders).  Bankrate is a lead generator for the mortgage lenders and the lenders know that to win the business, you have to advertise the best APR.

If you want the best of all worlds, take the best rate you can find on Bankrate and then see if Quicken will match it.
 
Liar Loan said:
Mety said:
talkirvine said:
Hi, everyone, could anyone recommend a mortgage lender? And what are the differences between lending from big national banks (Chase, BOA, Wells Fargo) vs from mortgage companies?

I would like to get a pre-approval for mortgage. Not sure where the market is going, but I think it never hurts to get a pre-approval, so I know my price range and can grab the deal when it appears.

Thanks in advance.

I think Chase has a pretty low rates overall. They also provide pre-qualification which is an assuring statement that the loan will fund 100% instead of a soft pre-approval letter (Not a sponsored message). I personally haven't used Chase for the mortgage loan, but I've heard good stuff from others.

I think Wells Fargo has a bad reputation for taking forever to get the loan.

Those larger banks usually have more strict limitations. For example, if you are buying a home in a community where there is a litigation going on in their HOA, then they usually won't allow loans until that issue is settled.

SGIP may disagree but I would say generally the large banks have the least competitive rates/fees.  Why?  Because they don't have to compete on rate/fees because of their brand recognition and the fact that many of their existing banking customers will apply first with them for a mortgage.

If you want the best possible service, Quicken has won the most awards and has a great reputation. 

If you want the lowest possible rate/fees, I would suggest searching on Bankrate for the lowest advertised APR (a calculation that amortizes the fees into your rate, giving you the "total cost" you can use to compare to other lenders).  Bankrate is a lead generator for the mortgage lenders and the lenders know that to win the business, you have to advertise the best APR.

If you want the best of all worlds, take the best rate you can find on Bankrate and then see if Quicken will match it.

The absolute lowest rate/fees are one thing but execution is very important when it comes to a home purchase loan.  SGIP's rates may not be the lowest of the low, but his rates are actually quite competitive (better than what you see on the website) and his execution is great.  For a refi, sure try to find the lowest of the low out there because you already have the house so execution is not as important.  Great execution is worth it's weight in gold.
 
USCTrojanCPA said:
Liar Loan said:
Mety said:
talkirvine said:
Hi, everyone, could anyone recommend a mortgage lender? And what are the differences between lending from big national banks (Chase, BOA, Wells Fargo) vs from mortgage companies?

I would like to get a pre-approval for mortgage. Not sure where the market is going, but I think it never hurts to get a pre-approval, so I know my price range and can grab the deal when it appears.

Thanks in advance.

I think Chase has a pretty low rates overall. They also provide pre-qualification which is an assuring statement that the loan will fund 100% instead of a soft pre-approval letter (Not a sponsored message). I personally haven't used Chase for the mortgage loan, but I've heard good stuff from others.

I think Wells Fargo has a bad reputation for taking forever to get the loan.

Those larger banks usually have more strict limitations. For example, if you are buying a home in a community where there is a litigation going on in their HOA, then they usually won't allow loans until that issue is settled.

SGIP may disagree but I would say generally the large banks have the least competitive rates/fees.  Why?  Because they don't have to compete on rate/fees because of their brand recognition and the fact that many of their existing banking customers will apply first with them for a mortgage.

If you want the best possible service, Quicken has won the most awards and has a great reputation. 

If you want the lowest possible rate/fees, I would suggest searching on Bankrate for the lowest advertised APR (a calculation that amortizes the fees into your rate, giving you the "total cost" you can use to compare to other lenders).  Bankrate is a lead generator for the mortgage lenders and the lenders know that to win the business, you have to advertise the best APR.

If you want the best of all worlds, take the best rate you can find on Bankrate and then see if Quicken will match it.

The absolute lowest rate/fees are one thing but execution is very important when it comes to a home purchase loan.  SGIP's rates may not be the lowest of the low, but his rates are actually quite competitive (better than what you see on the website) and his execution is great.  For a refi, sure try to find the lowest of the low out there because you already have the house so execution is not as important.  Great execution is worth it's weight in gold.

+1 For SGIP, he executed and ensure the best possible outcome with seasoned advices. Time is money. John knows his stuffs. The fake lowered rate is a lure only to drag out and more non-sense during the critical time.
 
I was going to post what USC just said.

I do agree with Liar Loan about Quicken (a mortgage guy who worked at Citibank actually used them for his own home loan) and their lower rates but as USC said, getting approval, closing timely, and if you have a difficult situation, working with SGIP may be better than that .00125 discount.

It all depends, and SGIP will even tell you if you have a better deal than him.
 
Thanks all for the kind words.

Some important considerations about the companies mentioned:

1) Internet rates are non-deliverable. Most aggregator sites (ZMM, BankRate) have terrific teaser data posted by lenders, but rarely become the same product you will receive. Example: "I want a low 30 year rate fixed loan" will equal on some sites a low 30 year fixed rate FHA loan - which has mortgage insurance.... negating any savings that a borrower may be expecting. Since rates cannot be locked now without a property under contract, rate shopping now isn't recommended - problem solving is.

A buyer of mine came to me after 2 other banks said "nooooo problem getting a loan". One bank based this on a single phone conversation. The other bank only ran a credit report. A good loan officer will get W-2's, Pay Stubs, Tax Data, etc before issuing a pre-approval. This buyer had significant income problems and was not going to qualify for a purchase at any price until they took a few crucial steps to change their income structure. You are absolutely right in taking the first step of getting a pre-approval in hand. My only advice is to have 100 percent of your documentation reviewed prior to putting an offer out. Rates, in this case, aren't key - qualifying is.

2) Is it important to get a low quote, or a pre-approval that will win the day? Example: Hot Home has 3 offers. One cash, but low, one from Big Bank in Orange County, and one from small mortgage company no one has heard of located in Iowa. If you were the seller, are you concerned about the low rate a buyer has (no...), or how well known the bank is that will be financing the home (absolutely)? Is the pre-approval structured with a loan officer available 24/7? It's these intangibles that can make or break a deal. Shop for that kind of intel as well as how competitive the terms are.

3) Some banks are terrible at specific kinds of lending. If you need an FHA loan or VA financing, the last place to go is a big bank.  Yes, they will do them. Yes, as well, they do not do them often or efficiently so avoid them if you need something unique.

4) So you got the pre-approval and win the bidding on the home you want. Now what? As noted earlier, get written, detailed quotes from other companies - the more details like a Closing Cost Worksheet or Loan Estimate the better - and give then to your lender to match or beat. I can assure you with confidence that big banks have the deeper margins to match legitimate written offers than smaller mortgage banks. As well if you have funds to move to the funding bank, the banks will have opportunities to reduce fees or rates based on your relationship opportunities.

Please know that once you get data at 4.0% and the big bank matches rate but is better by $1,000 in fees, there will be some companies that will come back and find a way to get the fees down by $1,500. By the time this happens you're going to be 5 days into a 30 day escrow. If you switch lenders over a $500 fee difference, the seller might not be open to your repair requests, or escrow extensions, or other issues because you've not met the terms of the offer in a fair and open manner. Commit to the lender early and ignore the offers that mysteriously float in later.

Wells Fargo, despite bad press, has some great rates and options. Quicken has admirable customer service standards. There are a few 'name brand' local mortgage bankers - New American, LoanDepot come to mind that compete well with Banks pricing and offer niche lending that Banks are prohibited from providing. When considering lending options, remember that Yelp can also be a resource for quality lenders. While on Redfin you'll see some mortgage loan officers listed with pretty high customer service scores. The bottom line is that if you search for things other than rate, you will not only get a solid lender, but a competitive rate as well.

Hope this helps,

My .02c

SGIP
 
I have more than 10 new purchases/refis under my belt with every type of lender out there - random internet banks, big banks, local mortgage broker, direct online lender, etc.  The one constant I found is that there is a place for each one of them depending on your specific situation and type of loan.  I am extremely price sensitive and have always gone with the lowest rate/fee since my credit/financial profile is very clean and straight forward (even this isn't enough sometimes as the target property might have potential problems).  My advice is to get quotes from multiple sources and make sure you understand the rate/fee you are seeing.  Most people get hung up on the rate and not the fees.  Even the 3rd party costs can vary between the lenders.  I've paid $900 for an appraisal before and also $400 for another appraisal on the same property with a different lender.  Also, make sure you have ALL your financial documents organized and ready to go.  This will save a lot of time during the loan process.  I could write a book about all my experiences, but the above few points should help you get started.

   
 
By the way just here to drop my complaints but I had a not pleasant situation with US Bank. They were the builders lender and I was competing them against a lender I've used on several deals. Poor service and never feels like they have to earn your business. I literally asked them at the end of January when MBS has a huge rebound and what their rate was and that I wanted to potentially lock and they told me to keep waiting. What kind of service is that?

And then when I informed the builder that I was using an outside lender then they come begging for my business and offered a lowered rate. I told them to give me your best and final rate as I was going to make a decision on a lender. They thought I was bluffing or something. Plus they had the audacity to try to explain to me like I'm an idiot that doesn't know the difference between an ARM and fixed rate mortgage.
 
I used WellsFargo and New American (Irvine based) in my last 2 transactions.

WellsFargo was horrible. They have a team involved but often cannot give me timely updates or a straight up answer. We closed 2 weeks late and had to pay a penalty. Wells ended up picking up the cost and did offer the lowest rate but I would not use them again.

New American was great. Highly recommend them.
 
The only bad experience we had was with the builder's lender (Wells Fargo at the time), overall poor communication and a lot of mistakes. The builder didn't really like receiving complaints about their "preferred" lender so it got fixed but a lot of added stress for no reason.

We used US Bank twice in the last 6 months and both time we closed in 20 days or so trouble free. I think it has a lot more to do with the loan officer you are working with than the bank itself. The lady we are working with is on top of things and communicates well, it doesn't hurt that we couldn't find lower rates anywhere else.
 
I'll also say that the individual lender that you are dealing with can also make a huge difference, not just the lender that you are working with.  Similar to how a good agent makes a difference.
 
USCTrojanCPA said:
I'll also say that the individual lender that you are dealing with can also make a huge difference, not just the lender that you are working with.  Similar to how a good agent makes a difference.

Of course. The problem I've noticed going through builder lenders (3 times now) is that they are just basically reps. They cannot tell you what today's rate is without asking a manager. They can't make quick decisions when rates are good and often can only lock 24-48 hours after I really want to lock. Working with my loan broker I can get locked anytime of the day literally. I have locked deals at 10pm with them.
 
Cares said:
USCTrojanCPA said:
I'll also say that the individual lender that you are dealing with can also make a huge difference, not just the lender that you are working with.  Similar to how a good agent makes a difference.

Of course. The problem I've noticed going through builder lenders (3 times now) is that they are just basically reps. They cannot tell you what today's rate is without asking a manager. They can't make quick decisions when rates are good and often can only lock 24-48 hours after I really want to lock. Working with my loan broker I can get locked anytime of the day literally. I have locked deals at 10pm with them.

Most of my new home buyers go with an outside lender because they either have a relationship with that lender or that outside lender has better rates than the builder's lender.  I've noticed that the builder's lender is typically lazy and initially quotes a high rate because they think the buyer will just go with them.  Then once the buyer notifies them and the builder that they are going with an outside lender, the builder's lender gets an "exception" from their manager to provide a more competitive rate.  Why not put your best foot forward right off the bat?
 
Liar Loan said:
Mety said:
talkirvine said:
Hi, everyone, could anyone recommend a mortgage lender? And what are the differences between lending from big national banks (Chase, BOA, Wells Fargo) vs from mortgage companies?

I would like to get a pre-approval for mortgage. Not sure where the market is going, but I think it never hurts to get a pre-approval, so I know my price range and can grab the deal when it appears.

Thanks in advance.

I think Chase has a pretty low rates overall. They also provide pre-qualification which is an assuring statement that the loan will fund 100% instead of a soft pre-approval letter (Not a sponsored message). I personally haven't used Chase for the mortgage loan, but I've heard good stuff from others.

I think Wells Fargo has a bad reputation for taking forever to get the loan.

Those larger banks usually have more strict limitations. For example, if you are buying a home in a community where there is a litigation going on in their HOA, then they usually won't allow loans until that issue is settled.

SGIP may disagree but I would say generally the large banks have the least competitive rates/fees.  Why?  Because they don't have to compete on rate/fees because of their brand recognition and the fact that many of their existing banking customers will apply first with them for a mortgage.

This logic is sound, but there was another factor you didn't mention. When we shopped rates from big banks, they were able to offer discounts for moving assets to their bank. BofA Preferred, Chase Private Client, Wells Tier 1, etc. In the end, we shopped loan brokers, online lenders, and several big banks (more than just the 3). I went through the pre-approval process with SGIP and had a positive customer service interaction. I would consider him for my next loan.

BTW we had a terrible experience with HSBC, they had the worst paperwork, least sophisticated system, least knowledgeable staff, least empowered staff (which means you get transferred around a lot), and worst rate to boot.

We also applied with a Goldman-backed startup called better.com that has a $1k guarantee. To my surprise they actually sent us a $1k check, which was awesome.
 
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