Federated Lending Corporation

Helping You Achieve Your American Dream

No broker fees, No hassles, low rates

Mortgage Mistake #4: Not Comparing Mortgage Quotes “Apples to Apples”

Recently, a local couple buying a new home was referred to Federated Lending by their friend. They’d already gotten a quote from another lender and wanted to compare rates. Our team provided the estimate, and the rates appeared to be the same.

The man we’d been working with on the details was a little apologetic because he liked his current lender. But before we hung up, I asked, “what do you like about your current lender?”. “Well, they have a super-fast approval process,” he said emphatically!

I asked if he’d be open to answering a few more questions. When was the closing? In just 30 days. And while this is a short amount time, it’s not at all unreasonable in our industry. I let him know we typically close loans within this time frame as well. 

After further discussion, I learned that he was paying one full origination point ($3420) to get the same rate we quoted with 0 points! Now that’s a BIG difference.


As we completed our call, I asked, “Would you like to pay LESS, close in the same time, deal with a LOCAL company, sign your application electronically, and have a choice to submit documents electronically or drop them off?”  He asked if we were really $3420 cheaper.  I assured him that I’d quoted a 0-point rate and could lock it in the same day with his application. He could hardly believe it.

After reassuring him that he’d understood correctly (and could literally drive to our office in less than 10 minutes to tell me off for wasting his time if I had), he became our valued customer.  Our rates were better because we are a small company with less overhead and fair pricing. Yet unless you shop for a mortgage by comparing the fees “apples to apples” it’s easy to be fooled and pay thousands of extra dollars unknowingly. So even if shopping for a mortgage seems a little daunting, it’s worth it.


Some national competitors have great marketing programs yet still can’t offer rates and fees comparable to ours. In addition to providing the best rates, giving each customer personal attention and timely communication is a top priority at Federated Lending. Buying a home can be stressful, and our job is to help each client by making the process as simple and stress-free as possible. In fact, customers often tell us how helpful our team has been compared with their previous mortgage providers.

When I sat down to write this article, it struck me that we are ALL deluged with advertising messages every day. But the loudest voices are not necessarily the best options. Lenders must all follow the same process as required by law. Some companies (like ours) execute a bit better than others, saving you time, money and hassle.  If you are considering a home purchase, I hope you’ll give Federated Lending the opportunity to provide a no-obligation quote. Call us at 215-493-1500 and we’ll be happy to help!


Tom Kovalcik

Federated Lending

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