How much more? According to a recent survey by Discover Home Loans, one of the nation’s largest home mortgage lenders, of the 1,037 prospective buyers surveyed, 87% know what type of property they can afford, and 83% say they’re prequalified for a mortgage. But only 52% have determined their projected monthly payment and only 59% have calculated their down payment! Obviously there is a significant disconnect between borrower perceptions and reality.
According the CFPB, customers who fail to get a second opinion of their mortgage loan will pay on average 1/2 percent more in closing costs and up to .375 percent higher interest rate!
Besides the obvious difference in closing costs and interest rates, there are many other things to consider when choosing a lender which I have outlined in the post ‘7 Questions to Ask Your Mortgage Lender’.