When looking for a mortgage, Delaware residents may benefit from shopping around for the best price. This is true whether an individual is looking for a new home loan, to refinance a current mortgage or for a home equity loan. Shopping around is beneficial because different lenders may offer different prices depending on what type of lender that they are. For instance, a credit union may offer different terms than a commercial bank would.
Those looking for a mortgage may want to work with a mortgage broker who may have access to several loan options from a variety of companies, which may make it possible to find the best available deal. In some cases, a lender may also play the role of a broker, and this fact is not always advertised to consumers. As brokers may be paid fees on top of what a lender charges, consumers should find out whether they are working with a broker before choosing a loan product.
Borrowers should educate themselves about the terms being offered by a lender. For instance, it is important to know about down payment requirements as well as points or fees that may be charged. Points are paid to the lender and may act to reduce the interest rate on a mortgage.
Individuals looking to buy a residential property may benefit from working with an attorney. Legal counsel may be able to ensure that there are no issues with the title to the property and that a buyer understands the terms of the mortgage. An attorney may be able to help buyers who believe that they were given false or misleading information about a property.