How do you choose between different lenders, when their offers are fairly similar?

Question

I have a choice to make on which lender to go with on my rental property refinance, however as I research each lender, I cannot find adequate information about their actual business practices. A few I found some information about (mainly to stay away from them as they changed the rates/terms at the last minute), and one had a bunch of fake reviews on the BBB site, but the others I cannot find any information about as far as customer satisfaction.

Matthew Kwan · Answer

It depends what you long term goals are? Typically, many people would pick a lender purely based on rates and pricing. However, there are more factors than just pricing, the value and strategic planning needed to help you cross the finish line. You would want to also focus on lenders who are investor themselves as well, where they think like an investor, not just a lender to just fund your loan.

@Carlos Valencia @Albert Bui

Erik Estrada · Answer

If you are working with a broker, ask who the lender is. Look up the lender and see if they are valid.

Erik Estrada · Answer

I would first start by looking to see if the person is licensed. Then I would look at reviews here on BP, Google, and Yelp. It is a lot harder to fake reviews on here since you can easily look up the person and see if they are active on BP.

Dave Spooner · Answer

Like others are saying, finding a lender that someone has referred to is always best.

Dave Skow · Answer

@Wayne Kennoff- thanks 1) getting a personal referral is a good place to start 2) if you have narrowed down the options to a few - contact both on the same days and ask them for whatever quotes for your scenario ...ask for a loan cost worksheet if possible . ...if their pricing ends up being the same - make a decsion based on the feel for cutoner service you get when communicating with them. 3) make sure they disclose all the fees related to the refinance ( not just their own fees ) ..4) reviews are hard to use to make a decision ( as you found out ) 5) rates are pretty high right now for rental properties ....if you can wait to refinance - you might consider doing so ...if you need to refinance - so be it ...Good luck

Katherine Blazer · Answer

IMO- Building a relationship and speaking with them. Not all lenders are the same or have the same personality, similar to real estate agents. So make sure you find someone that you connect with and will help you reach your goals.

Jacob Sherman · Answer

Best way to find a lender is from someone referring from personal experience .

How do you choose between different lenders, when their offers are fairly similar?

How do you choose between different lenders, when their offers are fairly similar?

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