Comparison Shopping for a MortgageNot So Much

By Brad Finkelstein

Published August 22, 2012, 1:23 p.m. EDT

1 Min Read

Only half of all consumers surveyed comparison shop for their mortgage, while 90% say they do so for big ticket consumer items. Harris Interactive conducted the online survey for Charlotte, N.C.-based lead aggregator LendingTree.

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Many potential applicants are taking the first offer they receive on their mortgage, missing out on substantial savings, said LendingTree CEO Doug Lebda.

LendingTree said it found a 150 basis point difference in the highest and lowest rate available for a 30-year fixed-rate mortgage. The sample was conducted between Aug. 6 and 10.

That difference between the lowest and highest rate could result in a consumer saving $214 per month and $74,000 over the life of a $260,000 loan.

“It is important for borrowers to understand that they have the power to choose which loan and which lender to use. It is acceptable to negotiate with lenders and to walk away if you are not fully satisfied. Consumers need to be engaged in the mortgage process to secure the best deal,” Lebda said.

Brad Finkelstein

Originations Editor

Brad Finkelstein is the originations editor of National Mortgage News. While he covers the entire process, Brad's specialty is loan production and... Read full bio

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