Banks are not the only source anymore. Choose what works best for you. Here are some ideas:
1. Mortgage Lenders — These lenders specialize in loans only for the purpose of purchasing or improving real estate.
2. Mortgage Loan Brokers — Sometimes these people are also referred to as third party providers. They are in the business of matching up buyers and homeowners with lenders that are likely to finance them. The buyer usually picks up the fee for this service.
3. Financial Institutions — Commonly known as traditional banks or “prime” lenders.
4. Private Lenders — Usually refers to sellers who are open to “owner financing.”
5. Credit Unions — Some do issue mortgages for their members and generally can beat the rateof the bank, or at least offer the same.
6. Finance Companies — Most will issue mortgage loans, and, to stay somewhat competitive, usually offer “no prepayment penalty” as a selling point. Their interest rate may be slightly higher than that of a traditional lender, but finance companies are generally more lenient in qualifying borrowers.
Choose which works best for your situation to make your home-buying experience as rewarding as possible!
Posted by: P.S. Always
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