| Over the years I have seen many different | | | | money they make on the deal when in actuality |
| types of loan officers and mortgage brokers set | | | | you are paying the discount fee to get a lower |
| up shop. That means I have also seen many | | | | interest rate. |
| crooked loan officers rip good people off. In this | | | | 4. Charging email and administration fees. |
| article I will reveal the top ten tricks that I have | | | | 5. Not disclosing their actual compensation on the |
| seen used to separate first-time homebuyers | | | | mortgage. |
| from their hard earned money. | | | | 6. Not releasing your appraisal when you choose |
| | | | to go with another lender. |
| 1. Low-ball Offers - they say you can qualify for | | | | 7. Switching the loan programs the day of closing. |
| an interest rate that is nowhere near what you | | | | 8. Not giving you a Good Faith Estimate. |
| should qualify for. This is just a trick to get you | | | | 9. Saying they have access to a special loan |
| wrapped up and involved before you know what's | | | | program that no one else has. |
| going on. Get it in writing or it doesn't exist! | | | | 10. Receiving kickbacks from real estate agents, |
| 2. Prepayment Penalty - In this day and age there | | | | title companies and appraisers in exchange for |
| is no reason why anyone should have a | | | | referring you to their business. |
| prepayment penalty unless you verbally request | | | | Now, these are just the top ten low down and |
| one. At any rate the choice should be yours to | | | | dirty tricks that I have seen over the years. |
| make. | | | | Keep in mind that there are many more that |
| 3. Charging loan origination fees AND loan discount | | | | shady real estate professionals will use to mislead |
| fees without lowering the interest rate because | | | | you when you are buying your first home. |
| of the discount point. They just keep the extra | | | | |