No broker fees, No hassles, low rates
Your home mortgage is one of the largest investments in your lifetime. For many, it is the largest debt they will ever assume. Saving 1/8th to ½ percent in rate is a large savings over time. Spending time and effort for the best financing option is no different than considering an investment in the stock market. You should proceed with care and caution. Most people assume refinancing a mortgage with the bank where they send their mortgage payment will be easier, faster and cheaper.
Most banks sell their mortgages to the Federal Government and only collect your payment and forward it to Uncle Sam. They don’t have ownership and cannot authorize a rate reduction, cash out or term change. In other words, even if you go through your original mortgage lender to refinance, you are starting over. If you are starting over, you should shop.
Most people assume since they send their payments to the bank, the bank provided the money and owns their mortgage. The banks have all their paperwork and it will be easier. Unfortunately, this is rarely true. Most banks sell the mortgage to the Federal Government and get paid a fee to collect your payment as well as benefit from holding your escrow payments. They like this arrangement because they can increase deposits and send you advertisements for other services and build their relationship with you.
Why work with Federated Lending?