The first time I used LendingTree.com (back in 2001) I got only one response.
Not so this time. Today I got three calls back to back from three different lenders regarding my refinance request.
I was starting to answer the phone, “Hello … Lender Central …”
Some things I've learned through all of these calls:
1) You will get a lot of calls. If they miss you, they will call again … several times.
2) They all need appraisals. They expect you to pay for the appraisals. Even though a hole in the ground is more expensive than what you're asking to refinance, they still need an appraisal. (Personal beef of mine.)
3) If they start discussing numbers with you (rates, monthly payments, etc.) ask if they've run a credit check. The advertised rates are usually for the best credit ratings, so unless you know that you'll get these rates, it's good to ask.
4) Most will ask you if you want to take cash out. I personally think this is a trap, so watch out. The more money you borrow, the more they make.
5) Some will assume that you want to amortize the closing costs of the loan (roll that amount into your loan balance). Others will ask. Again, the more money you borrow, the more they make. If you don't need to amortize the closing costs, don't.
6) Only one lender so far has really taken the time to make sure that I wanted to refinance. If you're moving quickly, it doesn't make sense to refinance, because the up-front fees wouldn't have paid for themselves by the time you move, so maybe the best advice is not to refinance. All other lenders assumed that I had made the decision to refinance, and didn't discuss this point with me.
7) It pays to run your own numbers. I'll detail how to do this later.
