EIGHT WAYS TO SAVE
WHEN YOU FINANCE OR PURCHASE

1. Use an experienced mortgage professional. I've been working with financial institutions for years and have completed thousands of loans worth millions of dollars. Lenders have given me (and other experienced loan professionals) an additional discount that we can pass on to our clients. Lenders know that it's more profitable for them to do business with a mortgage broker who gets the job done over and over again. Lenders don't like to deal with amateurs; neither should you!
2. Shop appraisers. There are some competent appraisers who charge $50 to $100 less than their competition. If your loan is a conforming loan (under $227,150), and the appraisers is licensed, you won't have any trouble. Warning: sometimes, low cost appraisers can take weeks more to deliver.
3. Avoid P.M.I. (Private Mortgage Insurance) by doing your homework. Instead of leaving it to the appraiser to find the "most recent sales" in your area that he will use as "comparables" in his reports, you scour the neighborhood and find the highest-priced comparable sales. Physically hand your 3 comps to the appraiser when he walks in.
4. Tidy up! Clean up the yard; haul off those piles of wood and pipe you "might use some day." Mow the grass, patch and paint. Make like the mayor is coming to visit, not just the appraiser.
5. Schedule closing around the end of the month, not at the first of the month. You will save hundreds of dollars in pre-paid interest.
6. Avoid impounds. Although it may be a bit more convenient, you will have to come up with hundreds and hundreds of dollars for your tax and insurance account.
7. Ask your mortgage broker to use a title and escrow company with the lowest fees. Sometimes they are a bit less efficient and you may have to sign a few papers more than once, but you can save $100 or more with the low cost companies. If you work with a thoroughly competent mortgage broker, they and their staff can handle the paperwork that the title company might miss.
8. Ask your mortgage broker to comb the rate sheets. If time is not of primary concern it is worth it to wait for a lenders special. Often one or more lender's offer "specials"- usually what is called 10-day pricing ( a lot like standby airfare).