June 11, 2024
If you want an FHA loan to buy a home, it is always a good idea to compare lenders, real estate agents, and other service providers who serve the housing industry.
When comparing, there are important questions to ask each provider to learn more about whether they are right for you.
How Long Have You Worked In This Field?
The answer will vary depending on the inspector, real estate agent, or lender and when doing so but there are trade-offs to consider for newcomers to the business.
A more experienced lender or real estate agent likely understands more complex issues related to your home loan and can deal with them more efficiently than a “noob.”
That said, newcomers aren’t always the liability you might assume they are, especially if they are working in a mentoring or training relationship with a more experienced professional. In that circumstance, a newcomer to the industry may be able to make up for a lack of experience with a newcomer’s enthusiasm.
Consider those with an obvious personal investment in their work for best results.
Have You Ever Worked On A Transaction Like Mine?
Different home loans have different considerations. For example, when a borrower chooses to build a house with an FHA One-Time Close construction loan, they may want to find a lender with experience closing this more complicated loan option.
The same applies to a real estate agent or any other service provider. If your loan has more unique needs, try to find a lender with experience to match.
How Well Do You Know The Area?
You might think this is a real estate agent-only question, but when you hire a home inspector, will they understand the unique localized issues that may apply to a given home?
A house in a known tornado zone, for example, may need a different type of scrutiny based on those local conditions. The same is true for a flood zone or area prone to wildfires.
The inspector would likely make a different assessment based on actual conditions on the ground than a manufacturer’s more hypothetical estimated lifetime.
Who Can You Recommend?
Getting a reference from one housing industry service provider for another real-estate-related service never hurts. Your realtor, for example, may know a good custom builder or inspector and vice-versa.
This is an important question. Whether online or in the local community, reputation should be a factor in your decision-making process.
The company known for being reliable gets noticed in the local marketplace, as does the company known for providing less-than-stellar customer service.
Joe Wallace has been specializing in military and personal finance topics since 1995. His work has appeared on Air Force Television News, The Pentagon Channel, ABC and a variety of print and online publications. He is a 13-year Air Force veteran and a member of the Air Force Public Affairs Alumni Association. He was Managing editor for www.valoans.com for (8) years and is currently the Associate Editor for FHANewsblog.com.
Browse by Date: