The average home buyer shops for a new home about every 13 years. If it’s been more than a few years since you shopped for a home loan, you’ll find the landscape has changed significantly. You no longer need to spend hours on the phone or in a mortgage broker’s office, and those mile-high stacks of paperwork have joined the dodo bird.
Even as home buying lulled during the recession, online mortgage companies reported a 174 percent surge in online shoppers. The percentage of Americans who own homes is 64.5 percent, and 81 percent of Americans are comfortable using online banking. It makes sense that people would soon discover the ease of shopping for home loans online.
Myth: Getting a home loan is time-consuming and tedious.
Home loans used to start with making an appointment with a mortgage broker, filling out stacks of paperwork (much of which was redundant), and waiting weeks to hear a decision. Often, people were asked multiple times for additional information, and many people probably spent countless hours hunting for documents they hadn’t seen in years.
The process at GoRefi is completely different. The first step is getting an approval letter, which requires basic information. This allows GoRefi to compare the best rates on the market for your situation. The application process, after the approval, requires only the information necessary to process the loan. No more answering questions in triplicate or giving out information that has nothing to do with getting your loan.
Myth: I have to use the mortgage broker I already have because pulling my credit again hurts my score.
Many people are tricked into paying hefty fees and commissions to brokers because they fear that several credit checks in a short time lowers their score. While it’s true that applying for credit all over town can drop your score, a few hits from mortgage companies within a short time won’t hurt you. You can shop for mortgages at GoRefi without harming your credit, even if your credit has already been checked by another mortgage broker or two.
Myth: Getting a home loan online is risky.
Security is a reason people fear getting a home loan online. GoRefi uses Secure Sockets Layer, as well as 128-Bit Domestic Grade Strong Security encryption, among other measures, to assure that the information you transmit online is safe from loss, theft, or spying. You have choices regarding how you communicate with the GoRefi loan representatives, so you can always be comfortable with how your information is handled.
Your information is shared only with those entities involved in processing your loan, such as title companies, property appraisers, and credit reporting services. It is never shared or sold to third-party companies that want to use it for sales purposes. Processing home loans in today’s online environment requires a combination of mortgage knowledge and tech savvy, and the owners of GoRefi have both.
Myth: Getting a home loan means paying lots of fees and commissions.
Mortgage brokers are notorious for charging hidden fees. GoRefi doesn’t: whatever you are quoted for the loan is the price you pay. There is also no commission. Another advantage of getting an online home mortgage with GoRefi is that you can handle the confidential email communications at your leisure. You don’t have to disrupt your daily life answering phone calls or running to a mortgage broker’s office to get the loan processed. You can choose how to communicate with GoRefi by uploading your documents and information through email or by fax.
Myth: You need perfect credit to get a home loan.
According to the Federal Trade Commission, you should shop for a home loan or try to refinance your existing loan, even if you don’t think your credit is good enough. Though buyers with less than stellar credit may not qualify for the best rates, renters can save 38 percent by owning a home, and refinancing your existing home can save you money even if your new rate is just 1 percent lower than your current rate.