Relationship with mortgage bank/provider

[honeybunnygal]

Hello all,

I'm looking to start the homebuying process around September 2010. I was wondering if having a current relationship with a lender improves your chances of getting a loan? If so, how much & what type of relationship do they look for (checking, savings, CC, etc.)? My scores are EQ 694/ TU 683. I have some baddies that will be falling off in the next year, so I should be in the 700 club by that time.

Thanks! 

[demo18c]

That is a very good question. I have been thinking about that myself because I currently have a mortgage with WF and looking to use then again for my 3rd mortgage

[Lel]

They may waive the initial application fee and perhaps the credit check fee.  That was offered when I looked into a refinance with B of A a couple years ago, but I can't remember for certain.  Interest rate would not have been affected.

[DallasLoanGuy]

i know that bofa used to have an internal score they used(in addition to fico scores and you had to pass both).... it may have had something to do with accounts with the bank.

what type of loan are you looking for?

[honeybunnygal]

Thanks for the responses! I'll probably end up going FHA. I don't think I'll have 20% for the downpayment for a conventional home. I should be able to do 10%. I was just wondering if my chances are any better if I go with a lender that I already do business with.

Thanks!

[DallasLoanGuy]

i would use a mortgage banker instead of a bank

[honeybunnygal]

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@DallasLoanGuy wrote:

i would use a mortgage banker instead of a bank

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I did a bit of research on mortgage bankers (hadn't heard of that term). This would get rid of the "middle man", so to speak? I'm just curious as to why you suggested a mortgage banker?

Thanks! 

[demo18c]

Why a mortgage banker vs a bank like Wells Fargo? I have always used WF and would like someone to educate me on the pros and cons please