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Shopping for Mortgages in the New Year

The Inman News Wire is almost always good for an interesting read or two (assuming of course you find the business of real estate news even remotely interesting) but I was particularly taken by Jack Guttenberg's column today. The self-proclaimed "Mortgage Professor" has a very particular and analytical approach to mortgage financing. His web site is a GREAT jumping off point for anyone who wants to begin the process of understanding what, and where, to shop for a loan.

The good doctor surveyed the current landscape for fixed rate, adjustable, and interest only loans, both jumbo and conventional in mid December. Specifically, he checked in with seven (un-named) internet based lenders and the four major "depository" lenders (i.e. chase, citi, boa and wells fargo).

Read the whole article here for the details.

Bottom line #1: Borrowers can save a ton of money by shopping loan providers.
Bottom line #2: Buying down the interest rate is a very good investment.

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