How should a Richmond homebuyer compare mortgage lenders?

Before serious home shopping. Early preparation can identify documentation issues, establish a comfortable payment range, compare loan options, and make an offer strategy more reliable.

Location alone does not determine quality. What matters is the lender's underwriting preparation, communication, availability, product fit, transparency, and ability to meet the deadlines in the purchase agreement.

Discount points are upfront fees paid in exchange for a lower interest rate. Whether they make sense depends on the cost, the monthly savings, available cash, and how long the buyer expects to keep the loan.

The interest rate is the cost of borrowing the principal, while APR is designed to reflect the interest rate plus certain loan charges. Neither number alone replaces a full comparison of the Loan Estimate and cash needed at closing.

The exact documentation varies, but a substantive review commonly includes income, assets, debts, credit, employment, and funds needed for the transaction. Ask what the lender has actually verified rather than relying only on the word preapproved.

Comparing multiple written Loan Estimates can make costs and terms easier to evaluate. Buyers should request estimates based on the same loan type, down payment, lock period, and assumptions so the comparison is meaningful.

Not automatically. Compare the rate, annual percentage rate, discount points, lender fees, cash to close, loan terms, and the lender's ability to perform on the contract timeline. An advertised rate may not reflect your complete cost.