refinances

[LivingAlmostLarge]

Someone asked me is it cheaper to go with a mortgage broker or a regular bank? I"ve always had chase because I seem to be very lucky with excellent rates. I've never had much luck with a broker beating what a bank (chase/bank of america) could offer me. And those banks tend to even beat credit unions the rates have been so good and the fees have been cheap.

Did you go with a bank? Broker? CU? Did you ever bother to check elsewhere?

[disneysteve]

We used Quicken loans for our last two refinancings. Their rate was good and I loved that it was all online. Never had to leave the house or deal with a salesperson. Someone came to us to sign papers for closing which took all of 10 minutes at our kitchen table.

[Fishindude77]

We don't borrow anymore but I always believed that it is best to have a relationship with an actual brick and mortar, locally owned bank, and a (real person) lender where you can develop a relationship and have face to face conversations.
If you do much borrowing, the relationship is invaluable, you get quick decisions, recommendations, etc. Good bankers aren't just in it for themselves, they help their clients in hopes of earning repeat business.

[myrdale]

We don't borrow anymore but I always believed that it is best to have a relationship with an actual brick and mortar, locally owned bank, and a (real person) lender where you can develop a relationship and have face to face conversations.
If you do much borrowing, the relationship is invaluable, you get quick decisions, recommendations, etc. Good bankers aren't just in it for themselves, they help their clients in hopes of earning repeat business.

In today's world it shouldn't manner, but I agree with Fishindude77. I'd much rather be able to go to the bank / credit union and see someone in person in the off chance there ever was a problem.

My mortgage was with a local bank. I think in 9 years I only had to talk to them twice because they had a habit of paying out of the escrow account to insurance at the very last moment.

After a couple of years they sold my account to a mortgage broker. I got really upset with the new company at one point because I was still being charged PMI and they refused to take it off despite being well below the thresh hold for requiring it.

I refinanced with the original bank, and rates had dropped from 6.5% to 4%. The refinance was only $50k, the loan officer said she normally didn't do mortgages that low but was glad to have me back.

The choice between a credit union and a bank is a coin toss. For all practical reasons, they are the same thing in my eyes.

[ua_guy]

I'm agnostic on things like a mortgage; give me the best rate and the lowest amount of BS and ancillary costs; I don't care who it's through. But the local credit union that has consistently been competitive has earned my business and for that reason I always check with them first when making big financial moves. A small community bank has proven to be a runner-up. Never a big bank, if I can avoid it.

That said, this is coming from my perspective that I've never been worried about qualifying for a loan. Someone who might struggle to qualify might be better served by having a broker or someone who can shop loans for them depending on their situation.

[kork13]

The assumption with mortgages is that your loan will be sold off, in probably >98% of cases. Therefore, I argue that the relationship matters little (unless your bank doesn't ever sell them off -- I have a CU that way), and I would only focus on the best terms. I've never bothered with trying to find a mortgage broker, as I was able to find very competitive terms myself by searching around between the few banks/CUs I use plus some of the local ones. Remember that the broker always gets paid somehow, and he's looking at much the same banks you are.

[bjl584]

When I refinanced a few years ago I went with a local brick and mortar bank.
They had good rates and excellent customer service

[LivingAlmostLarge]

I hadn't checked more than big bank and CU. Brokers always seemed so expensive. I never found a broker who gave me a good deal was the problem where we live now. In southern california in early 2000 the broker was the way to go.