What do you recommend i ask when calling banks?

Question

So iv called 5 banks and asked about what they offer as far as FHA and HELOCS and such. Should i already have a property in mind when calling banks. What do you recommend i ask when calling? What should i have written down by the end of the call? I didn't seem to get much info, and feel like i'm not asking enough. Thanks everyone!

Brandon Rush · Answer

Hey Ian,

You first need have your goals determined prior to calling the bank. Are you looking to use and FHA loan, are you looking for a portfolio loan, what are you looking for? Calling a bank with no starting point will probably lead to a weird conversation.

Looking at your profile, it appears you do not have any properties, YET. If I were to guess you would be looking to purchase your first property in the near future. In your case, I would approach your calls in the following fashion:

1) Introduce yourself and let the bank know your are looking to invest in your first property in the near future and would like to speak with someone from their lending/mortgage department. Do not be afraid to admit you are new. Acting as if you are an experienced investor will lead to the bank passing over smaller details that you should know.

2) Once you connect with the lending dept here are some questions you can ask:* I am a newer investor looking to purchase my first property in the next 6-8 months (or whatever time frame) and I wanted to start to connect with local banks to determine what will be required of me to obtain financing* Do you offer any programs for first time homebuyers such as myself. This question is very important to ask as many people miss out on these opportunities. If this is your first purchase, I would highly recommend you seek out a first time homeowner program rather than go FHA 3.5% down. One example would be a 5%-10% down payment conventional loan.

* Do you offer any special programs for real estate investors in general

* As a first time investor, do you have any recommendations for me

* Would it be ok if I followed up with you in a few months to see if anything has changed or if you have any new offerings

I do not think you need to go too much further than this or you will probably be taking in too much information. Many times you will see that many of the offerings are the same. Looking for a lender who is honest, provides lots of information and appears to be very interested in their job is what you are looking for.

Good luck and feel free to message me with any questions you have.

Brad Hammond · Answer

Hey @Ian Agar, what information are you trying to gather?  If you are looking to find a lender for an FHA loan or to take a HELOC out, you might want to ask for recommendations.  HELOCs are usually done through banks but mortgages are usually done through other lenders.  All lenders will do FHA, so ask around and see if you can get any recommendations in your area.  If you are working with an agent, they can give you a list of their preferred lenders.  For a HELOC, call around to find their rates and how much equity they will loan on.  Those are going to be the biggest factors for you.