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Financial Lenders

Today, many people are taking advantage of record low interest rates to refinance their home. Still others are taking full advantage of a buyers market to buy their first home or move up to a bigger, nicer home. No matter which of these describes you, you will need to find good financial lenders. 

We have all seen first hand just what loose lending practices have done to the overall economy. Unfortunately, as with most things, the pendulum is swinging far to the other side; financial lenders are getting even more  strict about their rules when lending. 

That doesn't mean it is impossible to get  a loan, but it will be a lot more challenging and if your credit is bad or you don't have a down payment your odds of getting approved are not good at all. 

The first thing you should do is try to clear up any credit issues you have long before you are even thinking of buying a home. The sooner you start to get your credit in shape, the better off you will be. 

Next, start saving for the down payment. Having a significant down payment may make a less than stellar credit report a little more palatable for a lender. 

When you have your affairs in order and are ready to start your search for a loan you will want to follow these steps:

1. Remember, not all lenders are created equal. You want to find one that offers the best combination of good rates and ethical lending practices. 

And you don't have to stay local either, if you don't want to. Your first step should be to ask family, friends and your realtor for referrals. 

Find the names of several lenders that meet all these criteria then start comparing rates and services to make your final pick. 

2. When you are compiling your list of possible lenders make sure you check that all of them are in good standing with the Better Business Bureau and any state regulating organizations. 

3.  Now that you have a list of several reputable lenders it is time to start comparing rates. Interest rate is one of the important things to consider, but it is not the only thing to consider. 

Closing costs as well as just how helpful the loan officer is are also things to consider. 

Recently, a friend and her husband were buying their first home. They had a loan officer who was absolutely terrible! 

She forgot to call and let them know when they needed to get paperwork in so they were often left scrambling at the last minute to find the paperwork and get it in one time. 

So, don't underestimate the importance of a loan officer who knows what they are doing and is up on everything. 

When you are buying a home, finding the best financial lenders is as important as finding just the right house. Getting a great rate is very important, but it is not the only thing you should be taking into consideration.