It’s becoming increasingly difficult to navigate your way around the world of the mortgage lender, especially when there are so many options to choose from. However, being spoiled for choice is never a good thing. How do you pick out the good, trustworthy lenders from the bad?
If you are anxious to get your construction underway for your new home, then you’ll have to find the right lender. Here are a few tips to keep in mind on your search.
Start by Knowing What You Have and What You Need to Borrow
Begin by being organised on your end. Get your credit score and finances in shape and make sure you know exactly what you have and what you’ll need to borrow to complete your building project. Lenders like to see that you have some cash reserves to be able to pay your mortgage in the event of an emergency.
Consider how much money you need to borrow before you contact a lender. If you go into a meeting confidently stating your requirements, you will be more likely to be successful in your search.
Ask for Recommendations
If you have a friend or a co-worker who recently bought or built a house and was pleased with their lender, ask for their contact information. Talk to leading homebuilders and other trusted sources about recommending brokers who they trust.
Do Your Research
Research local and national lenders online; just remain wary about entering your information in to get a quote on rates. As convenient as it is, it also means that lenders, good and bad, will have your contact information and other information.
Keep Your Eyes Open for a Good Rate and Good Terms
Lenders are looking for your business. Make sure you make them earn your business by asking for comprehensive breakdowns of all costs and fees, including origination or application fees, appraisal fees, commissions, etc. Comparing lenders is about more than just the interest rate.
Make sure you choose a lender with whom you feel comfortable and don’t feel pressured. Your lender should be knowledgeable, trustworthy and approachable. You need to feel confident sharing your personal financial information with them.
Narrow Down Your Choices
You are under no obligation to go with the first or the last lender you contact. Narrow it down to three that you really feel you could work with, and then do some more research. Look at online reviews or ask your building company for their input. Note things like:
• Did the lender return your phone calls or emails promptly?
• Were they friendly and patient in conversation?
• Were they able to answer your questions thoroughly and friendly?
• Do you believe they were honest about rates?
Choose MyChoice Home Loans
If you are working with McDonald Jones Homes to build a new home in NSW, QLD or ACT, then trust us to help you secure the right loan with our finance services.
We partner with MyChoice Home Loans. Their people have years of expertise in the construction industry. We have your best interests at heart and can provide you with completely transparent advice and suitable matches with the right lender. We have access to a wide selection of Australia lenders and can secure the best loan for your project. We’ll walk with you through every step of the building process.