Compared to large corporate lenders, small mortgage lenders may be credit unions, community or regional banks, or a variety of nonbank lenders. Small mortgage lenders can be an appealing alternative to dealing with large national banks when acquiring your loans for homeownership. Some borrowers may turn to a smaller lender after difficulty getting a mortgage approved by a large lender, while others may decide after comparison shopping that the smaller lender is best. Still, other borrowers may opt for a smaller lender because they like the personal attention they receive. No matter why you work with them, there are three advantages small mortgage lenders can offer.
Small Mortgage Lenders Are More Flexible
Small lenders can often approve mortgages that the “big guys” can’t or won’t approve. This is because their lending guidelines may differ in key ways. While large lenders need to select the best borrowers that they can work with without any fuss, small lenders often look for niche borrowers. Small lenders have the time and ability to assess any non-cookie-cutter borrowers that may be well qualified anyway.
Small Mortgage Lenders Know the Local Market
Small lenders can compete with the big institutions by having a leg up on local market knowledge. They are a part of their local or regional economy, and so can use the knowledge on those conditions when approving mortgages. This means that they may more readily accept an atypical property mortgage if they are familiar with the property’s history and demand. They are also familiar with local conditions, which could influence lending risks.
Small Mortgage Lenders Are More Responsive
When communicating with a small lender, you are much closer to the decision-makers who have the authority to approve your mortgage. This means you get to avoid lots of corporate bureaucracy that can be quite a headache. By dealing directly with your local mortgage lender, you get a lender more likely to roll up their sleeves and do what’s necessary to get your mortgage approved, and approval can often come more quickly this way.
A Title Company You Can Trust: Colony Title
At Colony Title, we will help you through the process of getting your property’s title and help you avoid the pitfalls of hidden costs while you buy your home. We are also well trained in identifying any and all errors in public records and helping you resolve them. We specialize in real estate title insurance in both Maryland and Washington, D.C., and we will perform an expert title search, check through all past documentation, and examine records for any fraud or forgery. For more information on how we can get you into the home of your dreams, contact us online or give us a call at (410) 884-1160. To get more updates on housing markets and how to get into your home, follow us on Facebook, Twitter, and LinkedIn.