Understanding the costs of obtaining a mortgage

Most of us have a “comfort zone” when it comes to spending our money. Our everyday purchases are easy; we know what we’re getting because we buy those things all the time. But for big items we only buy once in a while — like appliances, cars, or homes – most of us will take the time to do our research and make sure we find the best deal on the right product.

That’s shopping smart, and it should apply to finding the right mortgage loan, too. But many times, homebuyers and homeowners don’t do that research (much to their financial detriment) and it’s usually for one of three reasons: 1) They don’t understand all the different loans available; 2) They think all mortgage lenders are the same; or 3) Their real estate agent sent them to a particular lender.

“That’s precisely why we created our KnowBeforeYouOweNevada.com website — to offer consumers a quick and easy resource to understand what they should look for and what questions to ask when dealing with any lender,” said Rick Piette, owner of Las Vegas-based Premier Mortgage Lending.

“Most of the time, this is what happens when people need to get a new mortgage or refinance their existing loan: First, you discover there are a variety of choices about where to get a home loan — from banks and mortgage banks, to mortgage brokers and even credit unions and insurance companies. What’s the difference? You’re not quite sure, really. But you know you have to get a loan, so you choose someone to start the discussion with,” Piette said.

“Next, the lender you contact assures you that they are indeed the best choice to get you the best deal for your loan. So you breathe a sigh of relief. But what you don’t realize is that in most cases, the person you just talked to is a commissioned salesperson. And that salesperson’s income depends on how much they can get you to pay for your mortgage loan,” he said.

Piette said it’s important to compare one loan to another and ask the right questions to find out how much the loan will cost you.

“That’s our goal at KnowBeforeYouOweNevada.com. With our quick educational videos, in just a few short minutes, consumers can learn the basics they need to know about how to shop for a mortgage loan. Then, no matter how a lender may try to confuse you with fast-talk about rates and numbers and terms, you know you’ve already unraveled the ‘mystery’ of mortgage loans — and you know what you need to be able to make an apples-to-apples comparison.”

Many people don’t realize that the difference in the cost of mortgage loans between lenders can literally be thousands of dollars.

“Borrowers should be aware that not all mortgage lenders or mortgage loans are the same. And really, when you compare them, it all boils down to this: The fees and the interest rate. Without talking to different lenders to compare those things, a mortgage loan can easily end up costing them a lot more than it should,” Piette said.

For additional information, call 702-485-6600. Or, apply online at www.premiermortgagelending.com. To learn more about mortgages, visit www.KnowBeforeYouOweNevada.com.

Premier Mortgage Lending, NMLS No. 393282, is at 701 N Green Valley Parkway, No. 125 in Henderson. The full-service lender is a member of the Las Vegas and Boulder City chambers of commerces, Better Business Bureau and Southern Nevada Home Builders Association, as well as an affiliate member of the Greater Las Vegas Association of Realtors.