How to find the right home loan lender for you


Although buying a new house is extremely exciting, it can be a stressful and overwhelming time for anyone, not to mention extremely costly. Most people in Malaysia, or in Asia in general, apply for either a home loan or mortgage to help them buy their new house. Home loan lenders can advise and help you through the process and can help you with your finances but finding the right home loan lender can be difficult. Here a few tips on how to find the right home loan lender for you.

Understand the types of lenders available

In order for you to find a home loan lender that is right for you it is important that first of all you understand the different types of lenders that are available. There are direct lenders, correspondent lenders, wholesale lenders and mortgage brokers. When buying a new house, a mortgage broker/lender is typically used, as they are the most experienced when it comes to the property field. They will also be able to offer to the biggest loan necessary for buying your new property. 

Understand what a home loan lender does 

Home loan lenders/mortgage brokers are independent, licensed professionals who help you to secure a loan for your new home. Lenders will charge you a small percentage of the loan amount that you are taking out for their services. As you may be aware, home loans require you to repay the loan in monthly instalments, therefore your lender will keep record of your repayments and inform you on any changes or updates regarding your home loan application. It is also extremely important for you to be aware of the different terms and conditions that come with using a home loan lender, and the documents that they may require from you. Being aware of the documents that a home loan lender requires will allow to prepare and gather these documents, making sure they are all correct and up to date. 

Compare lender rates and services

One of the most important steps in finding the right home loan lender for you is to compare a number of different lenders. When doing this you should look at a home loan lenders rates, their terms and conditions and the service that they can offer to you. Comparing lenders against each other will allow you to become aware of who will be of the most help to you when applying for a mortgage. Comparing home loan lenders will also allow you to see what fees they charge, helping you to decide where you will get the most value for your money. Hong Leong Finance Home Loan provide their customers with a full price list for their services, allowing applicants to know exactly where their money is going. 

Read reviews 

Reading reviews is a great way of finding the right home loan lender for you. Many home loan lenders or mortgage brokers allow previous customers to leave reviews on their websites. This gives previous customers the chance to share their personal thoughts and opinions on a certain lender and allows them to share details of their experience and process with them. Home loan lenders tend to be extremely helpful and supportive towards their applicants, therefore if you see a bad review you know to maybe avoid them. You may also find independent reviews on websites such as Google or Yahoo, that may provide you with a more accurate and unbiased set of reviews. Reading these reviews can be extremely helpful when it comes to picking a lender, as it will allow you to see how they have worked with other people. 

Ask important questions

If you have read a number of positive reviews and feel like you may want to apply to a certain lender, it may be beneficial for you to ask them a set of important questions before you begin an application with them. Sending them a short email or giving them a call will allow you to speak to the lender prior to meeting them. This will give you a chance to ask a number of questions, such as how long do you expect the process to take? What are the key steps involved in the process of getting a loan? How much interest rate is charged each month? If the lender is able to answer these questions easily, and provide you with the answers that you need, then you may have found the right lender for you. 

Hopefully with this guide you will now be aware of what it takes to find the right home loan lender for you. Once you have found the right lender you will be able to begin your loan application and will be one step closer to buying your new home.