Not all lenders are the same...

Whenever I start working with a buyer, one of our first conversations is about their pre-approval...how much their budget is, what kind of loan they're working with, and what bank or financial institution gave them the pre-approval.

If a buyer hasn't talked with a lender yet, I make recommendations on lenders I work with and trust, and while most buyers don't realize that my recommendations don't come with any sort of financial incentive for me (that would violate the law), there are reasons why I recommend certain lenders over others:

1. In a competitive buyers' market, who your loan is handled by COUNTS. Seller's agents look at this closely (as I do when I'm representing sellers) to guide their clients. Some of the bigger banks don't have a reputation for smooth transactions and most importantly, closing loans on time, which is the most important thing to both buyers and sellers.

2. Local lenders tend to have MUCH better communication with buyers. The big banks often keep bankers' hours (9-5) and may be completely unavailable outside of those times. Since a lot of real estate happens on nights and weekends, having a lender who is available outside of those strict few hours is KEY.

3. Most local lenders can be a little more competitive on rates and loan programs, with the ability to shop around to save you money. That said, some banks offer first time homebuyer programs specific to their bank, so in those situations, the bank lender's program may be worth it.

4. Lastly, I tend to recommend lenders based on their knowledge of certain loan products. For example, I worked with a lot of buyers who are also selling at the same time, so a lender who knows conventional and bridge loans inside and out can be a huge resource in this market.

At the end of the day, ALWAYS do your due diligence in shopping lenders and finding whose product, reputation and knowledge will serve you best!