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Is is wise to apply with more than one lender or bank for a 30 y fho fist time home loan

Posted on: 19th Aug, 2009 08:04 pm
I have given my income information to a lending company so that i can see how much my payments would be on a 32,000 dollar loan 30 fixed FHA loan and I have a good credit score should i see if another bank or lending company can offer my anything better with rates monthly payment, and type of loans that would be best for me? the lender says i have to have 1200 down and 1500 in reserve in my bank acc is this needed this would be a first time home loan for me ? will having another company run these figures affect my credit score ?
sashgem

Welcoem to the forum

If you apply with toomany lenders, theyall wil be runnign the credit report. That is ok within 30 days.

Before applying to multiple lendersyou want evaluate and short list few and apply for couple.

Good luck and feel free to ask
Posted on: 19th Aug, 2009 08:27 pm
Hi sashgem,

"should i see if another bank or lending company can offer my anything better with rates monthly payment, and type of loans that would be best for me?"

You should definitely apply for a FHA mortgage with other lenders. It is important, especially for first time buyers, to shop around for mortgage. If you just stick to one lender how would you know if you can avail a better interest rate on the loan?

"will having another company run these figures affect my credit score ?"

Shopping around for mortgage does not usually affect your credit, provided it is restricted within a permissible limit. If you apply with 10 different lenders and they run credit checks, your scores can drop. But if you apply with 3-4 lenders, that is not going to affect your credit. As Realgeni suggested, you should evaluate and make a list of a few lenders and then check out what rates and terms they have to offer you.

You can also go for a no obligation free mortgage quote from the lenders of this community. They will assess your financial situation and other required factors, based on which they will offer you free mortgage quotes. This will give you a few more options to choose from and you can then take a mortgage that offers you the best of rates and terms.
Posted on: 19th Aug, 2009 10:35 pm
" the lender says i have to have 1200 down and 1500 in reserve in my bank acc is this needed this would be a first time home loan for me?"

As far as the down payment is concerned, you need to put down a minimum of 3.5% of your purchase price for an FHA loan. Of course, you can put down more than that, if you want. A good amount of down payment and a few discount points will help you get a low interest rate on you mortgage.
Posted on: 21st Aug, 2009 06:40 am
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