How Can It Be Your “Dream Home” if You Have a “Nightmare Mortgage?”

mortgageAhhhhh……the magic of finding “The Perfect Home.” It may be your very first home, or the one you plan to grow old in; your first “never-lived-in-before-brand-new” home, or the dream home you designed yourself and brought to life.

“Every person’s idea of their Dream Home is different, as it should be. But in the search for finding it, many forget to pay attention to one very important detail: Getting the “Dream Mortgage Loan” to go with it. Because if you spend every month giving yourself a kick when you make that mortgage payment, well . . . let’s just say that probably wasn’t what you had in mind in your dream scenario.”

As owner of Premier Mortgage Lending in Las Vegas, Nevada, Rick Piette has seen his fair share of people who found out too late that their “Dream Home” unfortunately ended up with a “Nightmare Mortgage.”

“It’s what happens when people decide to leave the decisions about financing their mortgage up to someone else – such as their builder or their Realtor®. Because if they had paid just a little closer attention to the details, I know they’d have made a better choice . . . the one that would have saved them a lot of money.

“And that’s hard for us to see, because it’s so much easier than most people think to make sure they’re getting the best deal on a loan,” Piette adds. “At Premier, we’ve spent a lot of time sharing that news in articles and on our website. We’ve even created a series of videos to break down that information into easy-to-follow steps of what to look for in your loan.

“But the main points we tell buyers to keep in mind are these:  Shop around with more than one lender, compare fees, compare interest rates – and then you’ll be equipped to see exactly which lender will cost you – and which one will save you – as much as thousands of dollars out of your pocket.

“Keep in mind, too, that a “loan pre-approval” is not a commitment – either from you (to get your loan from that lender) – or for a lender to make that loan to you. So even if your builder or Realtor® had you get a pre-approval letter from their preferred lender, you’re still not required to go with them.

“That’s a good thing. Because when you gather the Loan Estimates from two or more lenders and sit down to compare the rate and the fees, you may discover a huge discrepancy in the overall cost. Many Banks and Mortgage Bankers charge big fees for Loan Origination, Underwriting, Document, and Processing – and if you see those on their Loan Estimate, our suggestion is to run for the hills!” laughs Piette.

“But seriously – why do we say that? Because at Premier Mortgage, we offer a true “No Fee Loan” that doesn’t charge you anything for those items – and those are fees that can add up to $5-$8,000 or even more to the cost of getting your loan.”

Additionally, many buyers don’t know that Mortgage Brokers (like Premier) are regulated differently from Banks and Mortgage Bankers. Buyers may assume that the Broker will charge them a fee, but that’s not true. Instead, the lender actually pays the Broker’s commission because the Broker helps reduce the lender’s costs in several ways.

Also, a Broker can only earn income from one source, and that source is almost always the lender — not the borrower. All this is required to be disclosed directly on the Broker’s estimate – something that Banks and Mortgage Bankers aren’t required to do.

As there is no additional cost to the borrower, working with a Broker may be the buyer’s best option for these reasons:

• They have detailed knowledge about different lenders and may be able to find a lender who specializes in the type of home they’re looking for.
• They often have access to lenders that borrowers could not approach directly.
• They help borrowers get all of their documentation together with a single loan application that allows them to shop their network of lenders with less paperwork to complete.
• Brokers can assist those who do not have perfect credit or may have difficulty qualifying for a mortgage on their own.

“When you consider all the benefits of working with a Mortgage Broker like Premier Mortgage Lending: lower fees, transparency in earnings, saving you legwork, getting you information on several different loan options that are available to you – you can see how easy it is to make sure that “Dream Home” has the sweetest “Dream Mortgage” you could find to go along with it. And that just makes for a really happy ending.”

Premier Mortgage Lending, NMLS #393282, is located at 701 N. Green Valley Pkwy., Suite 125, Henderson, 89074. The full-service lender is a member of the Las Vegas, Henderson, and Boulder City Chamber of Commerce, Better Business Bureau and Southern Nevada Home Builders Association, as well as an affiliate member of the Greater Las Vegas Association of Realtors.