Often a consumer is doing the best possible job in trying to get the best mortgage for the money. Procrastination is not the consumer's best friend in making comparisons, however. A rate & program that was quoted last week, or in some cases, even hours ago, may no longer be valid. When mortgage rates are not stable, and it has been several weeks since they WERE stable, everything told to you by Loan Officer A is probably very different once you have spoken to Loan Officer B, Loan Officer C, and so forth. So, it is very important to get pricing quotes for the same time frame--30 days out pricing, for example--from each loan officer. But, more important than that, it is important to interview your loan officer.
By asking about the loan officer's experience and approaches to an applicant, you may find that 'cheapest' is not 'best'. This is not to say that the most expensive is the best, either, but don't be so focused on the rate that you do not see the big picture. One eighth lower on the rate for a loan of $150,000 when you look at 5.5 versus 5.375 as a note rate is about 39 cents a day on a 30 year loan. Peace of mind and confidence in your loan officer's abilities is surely worth that. Especially if the competition is someone who you will never meet.
One of the best way to discover how well your choice may depend on your circumstances is to get references or ask if people you know have had experience with a lender. If you hear bad things, then you may want to pay attention. Remember that there are many people around who will tell you what you want to hear--they over promise and under deliver. And once you have made that decision, it is harder to pull away. Especially, if an appraisal has been ordered and paid for by you. Would you rather someone quote high and deliver low or the other way around? That is why it important to compare apples to apples and that doesn't just mean mortgage rates.
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