Only about 40 percent of borrowers obtain more than one mortgage quote, according to a survey conducted by Harris Interactive and mortgage comparison service LendingTree.
Yet more than nine in 10 borrowers understand that mortgage rates vary amongst mortgage lenders, which explains why only three in 10 feel “very confident” they received the best deal on their mortgage.
However, borrowers still aren’t putting in the time to shop for a mortgage, partially because of the time-sensitiveness associated, and also because of all the complicated terminology.
But for such a big decision, it’s rather startling that nearly three-quarters of borrowers only spend the equivalent of one working day or less shopping for their home loan.
LendingTree noted that one in 10 borrowers only spends the amount of time it takes to brush their teeth to research their mortgage options.
Roughly a quarter of those surveyed said they recognized that they could save more than $100 on their monthly mortgage payment by reducing their mortgage rate by one percent.
The study noted that 96 percent of all Americans compare prices when shopping for just about anything – make sure that includes the mortgage!
Be sure to contact loan officers at neighborhood banks along with a couple of mortgage brokers so you’re aware of all your options. Also consider local credit unions and online lenders, both of which often offer lower rates than the competition.
Read more: What mortgage rate can I expect?