Member Reference Guide

Understanding how to compare lender financing offers

Shopping for a home loan is not just chasing the lowest interest rate. The better goal is to compare loan structure, lender fees, third-party estimates, timing, and the experience of the people helping you get to closing.

Expect opinions from every direction.

As you talk with lenders, real estate agents, friends, and online sources, each person may have a different opinion about what is best. Some advice may be best for you. Some may be best for them. Your job is to compare clearly.

The goal isn't always the

Lowest rateThe lowest rate may come with higher points or a structure that is not best for you.

Before contract

Worksheets are okayMany lenders may not give a formal Loan Estimate before you have a contract in place. That is okay.

Start with

Lender feesThese are the fees the lender has the most direct control over.

Best formal source

Loan EstimateSection A makes the lender charges easier to identify.

Why Shop

The best loan is not always the lowest rate.

When you shop for a home loan, you are doing more than looking for the cheapest number. You are comparing price, structure, lender fees, the type of mortgage, timing, and the person or company responsible for helping you close.