Utah real estate homes for sale, schedule a showing or free consultation online. Diane offers 15 yrs experience & negotiation techniques to help you succeed.
Recently a client secured a deal on a new home purchase in the Davis County area and was excited and ready to take the next step and lock in their interest rate. The lender when asked what the rate was for that day quoted 4% and said they could buy the rate down for a small fee to 3.875%. Now this may not seem like a bad rate however, this same day 3 other lenders quoted a rate of 3.5% with no points. Hmmm ..... what was the lender thinking?!?
Maybe your thinking the buyers must've had bad credit or a high risk situation, right? Nope! great credit, good ratios, absolutely no reason at all.
Can this really be happening, with all the new regulations that have been thrown on the mortgage and real estate industry shouldn't buyers be protected from this kind of predatory lending? Unfortunately it's still happening and unless your paying close attention to what's going on or are working with a qualified Realtor you could be at risk too.
So how can a consumer protect themselves? First shop around and compare the rates and fees of multiple lenders. Second verify with the nmls licensing system that the lender is in fact a licensed lender or broker (don't rely solely on this and just because they're licensed doesn't mean their honest). You can verify this at by clicking here for Utah Division of Real Estate. And finally work with an experienced Realtor that can help you identify pitfalls.
Diane Allan is Realtor in Utah serving the Wasatch Front area with over 22 years experience in Real Estate, Construction, and related fields.
Google By Diane Allan