Are multiple mortgage lender quotes neccessary?

Question

We have a loan offer that was referred to us by our realtor that sold us our primary home. She has been very nice and has sent out a pre- qualification letter out yesterday to the realtor that is working with us on our first investment property that we just submitted an offer into today. So just wondering if its standard practice to contact other loan officers/brokers to get a few more quotes in terms of the financing and interest rates? I just want to know what everyone else usually does? Do you try to use the same person for all of your contracts or do you just use whoever has the better offer at each time? Thank you everyone any input will be helpful.

Melvin List · Answer

@Keri J Perez when shopping for a new mortgage I would always get a quote from and independent mortgage broker that has many different lenders to shop your new mortgage.

Debra A. · Answer

Research shows that consumers who shop around save the most money on their mortgage. So, yes, I would say to shop around or work with a broker who shops for you. They often can also get special pricing and certain fee's waived or comp'd by the lender that you may not get on your own.

Keri J Perez · Answer

Thank you all for your input.  I figured overall it was important to get a few quotes. Since we already have a pre qualification letter from the initial loan officer we talked to does it really matter with the other lenders we get quotes from? And if we find better terms with another lender what is the best way to let the other loan officer down easier do you suggest. Just ask her if she can match or do better than the other offer?

Russell Brazil · Answer

I never shop, I use the same lender every time. However I also know what the going rate is as Im closing multiple deals a month.

Benjamin Piecenski · Answer

@Keri J Perez It is always a smart idea to shop lenders.  It's great to compare at least 3 different lenders to see what they are offering rate and closing cost-wise, and choose whoever best fits your needs!

Keri J Perez · Answer

Thank you for all your input!

Are multiple mortgage lender quotes neccessary?

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