How DO You Find Your Best Nashville Mortgage Lender?

How DO You Find Your Best Nashville Mortgage Lender?

I recently heard the following from a radio commercial for a Nashville mortgage- “while other lenders are raising their rates, we’re keeping OURS low … Huh?   At first “glance,”  it sounds great- this lender is going the extra mile by giving borrowers the lower rates they deserve, despite the increasing rate environment that all the other lenders are affected by.  

Well, as nice as it might sound, it just doesn’t work that way.  All lenders are subject to the same rate gyrations, and so the biggest rate difference you’ll find among lenders is typically just a measley .125%, or at most .25%.   There won’t be one Nashville mortgage lender who has the “corner” on the low-rate market, because if they did, word would get out, and then that lender would be slammed with so much business they’d have to raise rates high enough to stave off the onslaught of incoming mortgage applications. 

So when you hear advertising like this, the best conclusion is that the lender is charging more closing costs to the borrower to achieve the “lower than market rate” status.  It’s easy to advertise low rates and then not even disclose the heavier closing costs (aka “points”) required to get the better rate.  The only time you’ll get a hint of the higher closing costs is when the lender advertises the APR, which is a goverment formula that takes into account the closing costs.  But just seeing or hearing the APR % doesn’t really help the average consumer know what the closing costs are which make it up.  You’d have to get that lender to give you a Good Faith Estimate, and to get that you’d have to do a full application.  Then, you’d have to do the same with 2 or more other lenders to find out how they all stack up.  You’d have to make sure the lock period is the same, and also get the rate quote/estimate on the same day, if not same time of day, since rates can literally change hour to hour. So in the end, it’s quite easy for a lender to make these claims, because it’s so difficult to know for sure if they are right.

The better lenders don’t have to advertise “teaser rates” hoping to get their phone to ring.  They simply offer each client a competitive rate, and reasonable closing costs, and then back it up with stellar service.  Service that includes being available after hours, educating clients about what programs make the most sense for their situation, attending the closings to make sure everything goes smoothly, following up months and years after a loan is closed, etc.  Just like about anything else out there, one of the best ways to find out who will offer you this kind of service is to simply ask around for a referral.  

If you are in need of a Nashville mortgage, feel free to give me a call at (615) 261-1368.  I’d be happy to provide you  great advice tailored to your situation,  and a very competitive quote.  And should you decide to move forward, you’ll get nothing but great service - I promise!  Your repeat business and referrals are my best advertisement.