In today's world, there are still many options for a buyer to choose a lender.  On-line lenders promise that they will "shop" for a good loan for you.  (A good mortgage broker, such as those we use, will always shop for the best loan.)   Newspaper ads contain lists of lenders with "unbelievable" interest rates.  Some lenders even have a name that infers honesty or integrity.  And some lenders have ads with their children in them implying that the lender is just a good 'ol family person.

Don't be fooled.  Many lenders are here today and gone tomorrow.  Tomorrow might be before you close your loan or on the day you are closing.

I just read about a buyer who arrived at the closing table having been pre-approved in writing and found that the paperwork and funds were not available.  What's more, the lender wasn't answering the phone.  When the buyer drove to the lender's office, he found nothing but a locked door and a few pieces of furniture. 

The buyer had already paid for an appraisal and application fee, as well as an inspection.  Needless to say, he didn't appreciate having to pay for them again.

One way to avoid dealing with dishonest or flaky lenders is to get a referral from a Realtor.  Ask how many times the Realtor has used the lender.  Check the Better Business Bureau.  Our real estate team uses only lenders who have been in business for years, whom we have used for years and with whom we can physically meet  -- not just over the phone.

If something were to go wrong, we know whom to call.  We also know what kind of pre-approval letter we need that will satisfy the seller.  We know that the pre-approval has some "punch" behind it, rather than a stream of meaningless words.  In extreme cases, such as that of the above buyer, we know lenders who can come through in a short amount of time, treat the consumer fairly and honestly and get the funds to the closing as promised and on time.

If you would like a list of our recommended lenders, please call me at 614-431-9111.  We're here to help.