An Arizona Mortgage broker can assist you with finding the best Arizona mortgage rates because the broker works with many lenders. If you just go down to your local bank branch, you are limited by the Mortgage products for that particular bank.
Your Arizona mortgage broker will pre-qualify you for a mortgage, assist you with completing your Arizona mortgage loan application, lock your loan rate in and help you gather the financial information to process your loan. The underwriter will review your loan, an appraisal will be ordered and you loan will be processed.
Arizona Bank loan officers are employees of banks, lending institutions or credit unions that sell their company’s loan products. As a result they cannot offer you products outside the bank. While they have a variety of loans available to their customers, they are all loan products from their company. The loan officer also pre-qualifies you for a loan, helps you with the application and advises you of which of their company’s loan products you qualify for. They order the appraisal and proceed with your loan.
Benefits of Working With a Arizona Mortgage Broker
Mortgage brokers are available after business hours and on weekends if you need them. Bank loan officers work Monday through Friday at a 9 a.m. to 5 p.m. job.
Mortgage brokers can shop loan rates for you saving you time and money. Bank loan officers are stuck with the rates they are given from the their bank.
If your scenario is unique, the Bank may have extra overlays or rules that prohibit the you from closing the loan. Bank loan officers will not have the ability to send your loan to a different bank with different guidelines. Mortgage brokers can match you with a bank that will fit your unique scenario.
Your Realtor can refer you to a reputable Arizona mortgage broker because Realtors have established relationships with mortgage brokers they trust to help their clients close their deals. Some borrowers are more comfortable working with a mortgage broker, while others like to work with their bank because they have a relationship with them, and they may do other business with their bank so they feel a sense of loyalty. It’s a matter of personal preference.
Whether you decide to work with an Arizona mortgage broker or your local bank, make sure you compare loan products and read the fine print. Ask questions such as whether there are any prepayment penalty fees or junk fees. Prepayment fees are fees charged for paying the loan off early. Your mortgage broker will explain the loan terms, provide you with the proper disclosures and answer your questions.
Pre-qualify vs. Pre-approved
Having your Arizona mortgage broker or bank give you a pre-qualified letter makes your offer stronger with the seller because they know you can afford their home. Many borrowers start their loan approval process prior to finding a home so when they do find their dream home, they are ready to close quicker. Once you have gone through the loan approval process, your lender will give you a pre-approval letter which carries more weight because this means your income, assets, credit and loan application have been reviewed and approved. In regards to turn-times, the processing of a typical loan takes 30 days. In some cases the process can take up to 45 to 60 days depending on a variety of circumstances. Your loan officer will be able to guage how long it will take to close your particular loan at the beginning of the process. Be sure to ask how long they expect it will take to close the loan.