I have written a free class for home buyers in Colorado Springs that I plan to present, Thursday, April 26th in conjunction with Academy Mortgage. One topic that I want to explore with the audience is the merits of finding a good loan officer. If this is one of your largest life purchases it makes sense to consider this loan partner choice carefully. I recommend that you ask other professionals in the real estate business for referrals. If you have friends who have been through the buying process recently you could ask them for feedback on that experience. It is reasonable to ask the lender for references.
I recommend you choose a local lender who knows something about our property values and issues that affect our local market. A lender from a different state may not understand factors like hail and fires that influence our insurance rates. This local lending expert will understand when and how are taxes are assessed by El Paso County and how that impacts your escrow account. It is also important to only have one or two contact points with the lender who can keep track of your file and help you work through issues. Sometimes when you use a national internet based lender you have a 1-800 number and they have a big team that rotates calls to handle and update your file. No one is intimately involved in managing your file and each individual may even have fewer financial incentives to complete your loan. Using a local lender is often preferred by local Realtors because the transactions may go smoother with more individual attention. When you make an offer on a property you may be in competition with other offers. If the other buyer's lender letter is written by a local lender, and your is not, the seller may choose that offer.
You need to get pre-qualified and have your letter ready to submit with offers prior to starting the home search in earnest. Occasionally you will see a property that sparks your interest in buying. It will make you more comfortable if you get qualifying information as soon as you can so you don't look at homes dramatically above or below your budget.
For questions or comments please call 719-309-8933.