Shopping around for the best lender

Eyepinpools · ‎07-24-2021

Hey all,

My sister and her husband are shopping for a house. They both have great credit scores MMS 800ish. They qualify for a FHA loan because my sister has never owned a home. They have a combined income of roughly 250k.

For all the members who have shopped around, can you recommend the lender that offered you the lowest overall costs (rates/closing). They qualify to be members of NFCU but I'm weary of recommending them to join now due to the hard pulls to join then again to app prior to being approved on their mortgage.

Minimizing PMI and upfront costs would be ideal unless there was a big payoff to buying points etc. They are looking at homes in the 5-600k range with 3-5% down.

if you need any more DPs to make a goood recommendations let me know. They are located in Portland, OR.

Thank you in advance for all your recommendations.

Niceman · ‎07-25-2021

I am currently doing a refiance with Better.com. Check out their rates on Bankrate.com. They will match their own rate from there. I could not find anyone close to the rate I got them with. Their purchase rate is better then the refinance just like most places will be. When you do an application it is a soft credit check so no need to worry about a hard check till you go to lock the rate. If they have an American Express they can get a $2,000 statement credit also on top of the good rate.

Good luck in the search.

surferchris · ‎07-25-2021

Better Mortgage seems good. Also try the prequal page on Credit Karma as some Fintech lenders are giving a light rate reduction, since these lenders assume that if you can use CK, that you can probably upload digital docs into their portal and thus save them processing costs (payroll costs) on their end. Also CK seems easy to begin the process and rate shop.

Good luck!

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Citylights18 · ‎07-25-2021

To be quite honest for most people I think its better to take a higher rate to minimize closing costs, make some additional property modifications, then refinance down to the lowest rate you can get.

4sallypat · ‎07-27-2021

@Citylights18 wrote:
To be quite honest for most people I think its better to take a higher rate to minimize closing costs, make some additional property modifications, then refinance down to the lowest rate you can get.

Yes, that is what Better.com offers.

I am currently being offered: 2.5% with 1 point and 3% with negative 1 point (cash for closing).

Mortgage-Specialist · ‎07-27-2021

Is that conventional of FHA?

Mortgage-Specialist · ‎07-27-2021

If FHA, I'm seeing 2.25% with no points or lender fees. If conventional, that's a nice offer

MauiMan85297 · ‎07-27-2021

That's what we currently offer for FHA purchase is 2.25% (no points), I doubt they can get 2.5% with 1pt CNV

Eyepinpools · ‎07-27-2021

@MauiMan85297 wrote:
That's what we currently offer for FHA purchase is 2.25% (no points), I doubt they can get 2.5% with 1pt CNV

We?

thank you everyone for your advice. Any further input would be greatly appreciated.

MauiMan85297 · ‎07-28-2021

I'm a MLO and that's the rate some investors can offer, some charge origination fees, processing fees so you always have to look at the entire picture not just rate and points. We're a lender that doesn't charge a fee at all but get paid when we transfer the servicing rights.

**Disclaimer**, Not trying to drum up business as I have plenty of files to deal with, just informative info.