Before this past era of mortgage lending, the industry was considered wild fire and untamed. For years it operated without concern and oversight. Lately though, the mortgage lending industry has became tamed and controlled. It would not have been out of the ordinary to listen to lenders joke about the Golden Rule of lending, which is, he who has the gold, makes the rules. Today, the mortgage consumer holds the power, and in turn has protection laws, and the creation of a government agency to identify punishments and lenders abuse. Now it is easier for buyers to shop for loans and find the best rates through a mortgage broker, such as NSH Mortgage.
Negotiating your mortgage rate in the past with a mortgage broker
A loan officer is a representative, licensed by the state, federal government, or by both. There are instances where loan officers are exempted from licensing, depending on where they work. In the old days, loan officers would make commission-based salaries where they would be paid by the amount of money they brought into the bank in income. The more income they created, the bigger commissions they would receive, in which through this method, put the loan officer in a personal conflict with the customer.
There were strictly three ways a loan officer could heighten their commissions.
- The loan officer could raise their customer’s mortgage rate
- The loan officer could add in extra closing cost, raising the consumer’s upfront costs
- The loan officer, in effort to maximize their commission could raise both
This is a main reason while it is always a good idea to shop around when searching for mortgage rates in Florida, the Tampa Bay area, or any location you may wish to look. NSH Mortgage is always willing to work to garner you a better deal, even if in return, it may not maximize our overall commission.
The new way to negotiate your mortgage rate with NSH Mortgage Broker
Even if you have dealt with the mainstream mortgage operation in the past, it is still never a bad idea to shop around to make sure they are up to par. The rate you get from broker A, may not be the same rate given out by broker B.
There is always room for negotiation. Lenders are allowed to credit closing costs to a borrower when the competition heightens, and the mortgage broker becomes equal with others. The biggest difference now, compared to in the past is the loan officer’s commission must not be affected by the negotiation. A successful mortgage rate negotiation with a mortgage broker may reduce the income to the bank, but it will not reduce the loan officer’s commission. In this way, it allows the loan officer’s interest to be aligned with the consumer, bringing an all around best interest situation from the mortgage broker to the customer.
Have you met with your mortgage broker lately to discuss your rate?
Mortgage rates are cheap right now, and may be cheaper at some brokers and banks than others. As we have mentioned, this brings on the effect of shopping around to find your best rate. NSH Mortgage has been a mortgage broker to a wide variety of clients, helping them close on a mortgage loan, refinance, to a FHA Streamline refinance.
It is always good to review your mortgage broker and read through their reviews. Below you can see just one of our many 5-Star Zillow reviews from our customers. Click here to read many more stories and customers we were able to place into the correct loan at the best mortgage rate.
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Negotiating the best mortgage rate with NSH Mortgage Broker in Florida
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NSH Mortgage: Your Mortgage Broker in the state of Florida