Buying Mortgage Companies

Buying MORTGAGE companies BUYING TIPS

1- Don't take the first buying mortgage companies you're offered
There are big differences in the deals you can get amounting to many thousands of dollars.
So make sure you've made comparisons with others.

2- Shop around
There's a lot of competition between the mortgage providers.
Like supermarkets they'll use techniques like offering "loss leaders" to lure more customers (Their pay off is that later on you're not likely to go elsewhere because of "consumer inertia" - which we've all got black belts in when it comes to financial products).

3- Look for buying mortgage companie lender who is offering a "loss leader"
Provided there's no overhanging lock in you could shop around for another good deal at the end of it and save thousands.
In other words buy with a view to get a new mortgage deal every 2 years or so.

4- Don't be taken in by a low sounding initial interest rate
This is known as the headline rate. Very low rates usually come with cunning long term "tie ins".
What will happen at the end of the low interest rate term? Do you have to stay with the same buying mortgage companies lender who is suddenly only offering you a very uncompetitive rate unless you pay a big penalty to leave?