Why Shopping The Mortgage Rate Is Costing First Time Home Buyer’s Dream Homes In Hudson County
Hudson County, right across the river from Manhattan has turned into a booming real estate market in recent years. Developer’s and investor’s have ramped up the market by converting brownstone’s into condo’s and developing new construction all along the river that has attracted a young crowd who want the “city life” without paying the price.
First time buyers in the area are mostly millenniums, buried in student loan debt, but not scared to take a risk. How do most of first time home buyers shop for mortgages? Well, you guessed it, the internet. It is much easier, more convenient, and attractive to click on the lowest possible APR being advertised than it is to find parking, pay $25 for parking an hour later of driving down the same one ways to just sit down with a local lender on Washington Street who knows the market, agents, data, and products that best tailor to these homes/projects. Our rate is most likely higher than that APR too so why would you ever go through all that when Siri has the answers! That is costing first time buyers in Hudson County homes !
To be a successful mortgage banker in a competitive market with unique properties requires to be the best of the best. That means at minimum we need to have extensive knowledge of loan products tailored for the market, knowledge of newly developed projects, current market trends, and lastly is a proven track record of successful transactions with local agents and investors who know we will and can get the job done. Getting the job done means providing SERVICE. We need to make money in order to provide the service, and we make our money off interest rates. Shopping for a competitive rate is of course important but it will cost you a home if that is all you are shopping for. Put it this way, you will not find a property that does not have multiple offers the day it hits the market in Jersey City, you will pay over asking, and that’s when the lender plays an important role to the agent and seller when deciding which offer to accept. We sell money, if the money is not delivered on time than everyone looses including the buyer! Agent’s don’t get paid, seller’s don’t sell, and buyers don’t buy. Service plays a big role and that is where the cost comes in play. I have seen sellers take offers from my buyers who offered much lower just over the accountability my pre approval letter had with the listing agent. If providing top notch service to 30 borrowers a month (60 agents, 60 attorney’s, 30 underwriters, 30 appraisers, etc) was a one man job, we would do it. Our margin’s are the same, if not less, than Joe Smith in Utah. Difference is that you may pay .25% more with us but you will have 75% better chance of securing homeownership, and that’s the main goal at the end of the day!