Local Lenders vs National Lenders – Part 2

Thank you for joining us for Part 2 on choosing local lenders vs national lenders. This topic is very important, and if you have any questions about using us for your situation, please reach out to us. This portion explores some advantages and disadvantages of national lenders:

Advantages of a National Mortgage Lender

1. They’re Well Known – National lenders have typically been in business for quite a while and have established some stable brand recognition across the country. This can show listing agents that the company is backed by secure money and is low risk for problems. National lenders work constantly with large financial investments and usually have a long history of successful business.
2. The Tend to Offer Faster Approvals – A lot of national lenders can guarantee loan approvals in the same day and that’s because they have huge teams of people working around the clock to process loans. They often have in-house underwriters to speed up the process as well.
3. Large Selection of Loans – Usually national lenders will have access to virtually every loan. Local lenders may also have a wide selection of loans, but sometimes you can find even more through a national company.
4. Options for Online Assistance 24/7 – You don’t have to worry about leaving your house with the online options available with national mortgage lenders. You typically can apply online any time of the day and can upload information from the comfort of your own home.

Disadvantages of a National Mortgage Lender

1. You’re Just a Number – Because national lenders are trying to work with clients from all over the country (or world), you’ll be just one of their numbers. You lose the personal touch with a large national lender and your appointed contact will be juggling many people all at once. They also don’t have the advantage of knowing other professionals in the area that can help you on your home buying journey.
2. Possibly Higher Fees or Rates – National lenders tend to have more fees than their local counterparts, and this can translate into a higher interest rate or higher closing costs. National lenders tend to be more focused on numbers than people, making them less flexible to work with their clients on a personalized solution. A local lender has more incentive and personal interest to see their community member get into a wise loan for their situation.

As you can see, there are a lot of considerations when deciding on a lender for your upcoming mortgage. Do your research and decide what your priorities are when it comes to the logistics of the loan for your purchase. If you’re wanting the personal touch of a local lender and you’re worried about options and accessibility, contact them first to discuss those concerns before automatically heading to a national lender. A quality local lender can exceed expectations and address your concerns. Communication, reliability, and financial options are critical to best practices when assistant someone with the purchase of a home. InterWest Mortgage is your local lender offering the best of both worlds.