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5: Make Your Housing Plan — Own

Lenders to Watch Out For

Loan approved cash coinWhen it comes to making a big decision to buy a home, you need to be careful about your selection of a lender. Regulations have been implemented by the Consumer Financial Protection Bureau to help protect borrowers. The following tips also are helpful to keep in mind.

  • Get objective advice. Mortgage lenders are in the business to make money, not to be your friend. Talk to several lenders before making a decision to go with one. Consult others who can help you such as friends, family or financial planners to make this decision.
  • If it sounds too good to be true, it probably is. If a lender offers up a mortgage that is “just right for you,” it may turn out to be just right for the lender. 
  • Read before you sign. Understand the terms of the mortgage, when you have to make payments, fees and costs associated with taking the loan, etc. 

Infographic: Housing predatory lending signs

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