Myth #18: Handful of quotes is all I need
How many quotes should you get when shopping for a mortgage? This is a question that is commonly asked by people shopping for home loan quotes. Even though this is the most important question a mortgage shopper can ask, unfortunately, the majority of those shopping for the best possible home loan rate are unable to arrive at the correct answer
Generally speaking, when shopping for mortgage rates, most people believe that they only need to get quotes from a handful of loan officers from few banks/lenders. This is simply not true.
The truth is, a few quotes will not help you whatsoever due to one reason. Despite a popular myth, it is the Loan officers (who are set on different commissions) competing, and not the Lenders/banks. In other words, Lenders DO NOT compete. If the Lenders competed you can easily call Mr. Wells Fargo or Mrs. Chase and jot down the rates and make a smart comparison without having to go through the pain of getting sales calls for weeks on end and having your credit ruined by the comparison shops like Lending Tree, Zillow or Bankrate.
This also means that even if you were to get two quotes from the same lender, the quotes could be completely different if you were to go through different loan officers, regardless of the fact that both quotes originated from the same lender. The only way to get the best available mortgage rate quote is to get quotes from as many loan officers as is possible. Accessing these quotes anonymously is also important to keep your privacy and protect your credit score.
Because mortgage quotes operate in this way, the process of obtaining them can be difficult, confusing, and exhausting. Not only that, but many home loan shoppers ultimately end up settling for a less-than-desirable rate. There are 400,000 loan officers in the United States – in order for a mortgage shopper to get the best rate possible, he or she needs to be able to reach as many loan officers as possible.
The best way to reach out to as many home loan officers as possible is to use the Parlend online mortgage rate calculator and LO Finder. Getting a mortgage quote online through Parlend will allow a mortgage shopper to anonymously reach out to a wide range of loan officers. This has the added benefit of cutting down on conversations with salesman-like loan officers. Instead, a user can access accurate pricing in real-time based on his or her own individual risk profile. Parlend expedites this process so as to help a mortgage shopper to quickly see the best options available to him or her, thus ensuring that the shopper can easily make the best possible decision.