Top Ten Mortgage Lenders versus Subprime Mortgage Lenders

2007-03-08 10:33:40

( Financial )



Taking out a mortgage is an important and crucial financial step. It is important mainly because when you take out a mortgage to buy a home, you are going to finally begin accumulating equity when you buy a house or build your home. On the other hand, if you are taking out a mortgage on your home equity, you obtain some liquidity to resolve some of your short-term cash flow concerns. However, if you unwisely chose subprime mortgage lenders, you may be getting rates that are not apt to your credit standing. It is important, therefore, to find only the best mortgage lenders, preferably one of the top ten mortgage lenders.

Mortgage lenders are not equal. There are bad mortgage lenders as there are good mortgage lenders. There are prime mortgage lenders for people with exemplary credit record and there are the subprime mortgage lenders for people who got rejected by the former.

It is very important to avoid making the grave mistake of dealing with subprime mortgage lenders when you can be granted a loan by any of the top ten mortgage lenders. Subprime mortgage lenders usually have higher mortgage rates because of the type of clients being serviced. Higher risks are a given when money is loaned to people who have low credit scores, so to offset the risk subprime mortgage lenders charge higher interest rates. If you have a good credit record yet you took out a mortgage from subprime mortgage lenders, you are getting a raw deal since you are paying more interest when your pristine records demand lower rates and better deals.

You can avoid picking bad mortgage offers by doing some research. The best option is to consult a mortgage professional who knows which companies are prime or subprime mortgage lenders. These professionals will also know if you will qualify for the former based on your credit score. Furthermore, these mortgage consultants will be able to tell you who the best 100 mortgage lenders and the top 10 mortgage lenders are.

If you do not want to get a mortgage broker, you can do your own investigation and assessment with the help of the internet. There are web sites which are operated by independent organizations for the main purpose of giving consumers information about the mortgage lenders and mortgage rates. Some of these institutions rank mortgage lenders according to a set of parameters like customer service and number of employees and make a list of the top ten mortgage lenders in the industry. These lists of the best mortgage lenders can be found in these organizations’ web sites.


All rights Reserved © Tradenet Services srl
Do not duplicate or redistribute in any form.