Mortgage and refinance rates are about the best they've been in years. If you're in the market, shop around with several banks and mortage companies. Get your "good faith" estimates to start and look out for hidden fees. These are prone to pop up at actual closings. I have walked away from the table once or twice and threatened to in another instance for things like $300 administrative fee (straight profit).
Document prep, copying and admin fees can be bogus. Ask your bank or mortgage rep is they can waive these fees. Loan origination fees typically more than cover these added costs.
Watch out for fees for credit reports. Some lenders may try to charge you more than $50 to obtain your credit report. Before you begin signing any papers, let your bank rep know you're not willing to pay more than costs for your credit report.
My last advice: Get pre-qualified for your loan amount BEFORE you begin home shopping. Know your limits and be realistic. It also pays to get copies of your own credit reports (you & your spouse) BEFORE you apply for a mortgage. You'll avoid last minute surprises that way (90 days late for a credit card you never had, etc.). The credit bureaus make mistakes all the time. I've conducted hundreds, if not thousands, of credit bureau disputes for clients. Easy to remedy, but don't wait until the last minute.
Oct 20, 2010
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