How to Choose the Best Mortgage Lender: Key Questions to Ask

Why Choosing the Right Lender Matters

Buying a home is one of the biggest financial moves you’ll ever make. The lender you choose can influence your interest rate, monthly payment, closing costs, and even how smoothly the process goes. With so many options out there, how do you know which lender is truly right for you?

The good news: you don’t have to figure it out alone. By asking the right questions and comparing multiple offers, you can put yourself in control of your mortgage. That’s exactly where Lendgo comes in — we make lenders compete for your business so you can feel confident you’re getting the best deal.

Key Questions to Ask Any Lender

1. What’s the Interest Rate and APR?

The interest rate tells you the cost of borrowing, while the APR (Annual Percentage Rate) also factors in fees and closing costs. Two loans with the same rate can have very different APRs.

Tip: Always compare both numbers side by side. Lendgo makes this easy by showing you offers from multiple lenders instantly.

2. What Loan Types Do You Offer?

From fixed-rate mortgages to ARMs, FHA loans, VA loans, and jumbo loans, the type of loan you choose affects your monthly payments and long-term costs.

Why it matters: Not every lender specializes in every loan type. Knowing your options upfront can save you time and money.

3. What Are the Closing Costs?

Closing costs usually range from 2%–5% of the loan amount. Some lenders may let you roll these into your mortgage, but that could increase your monthly payment.

Pro Tip: Use Lendgo’s tools to estimate closing costs and compare how they vary from one lender to another.

4. How Much Do I Need for a Down Payment?

Some lenders may work with as little as 3% down, while others may require more. The size of your down payment also affects whether you’ll need to pay private mortgage insurance (PMI).

Educational Note: A larger down payment reduces your monthly payment and can help you avoid PMI.

5. What’s Your Turnaround Time for Pre-Approval and Closing?

Speed matters, especially in competitive housing markets. A lender that can pre-approve you quickly gives you an edge with sellers.

With Lendgo, you can get pre-approved fast by connecting with lenders ready to compete for your application.

Why Shopping Around Is Non-Negotiable

One of the biggest mistakes buyers make is sticking with the first lender they talk to. Even a small difference in interest rates can add up to thousands of dollars over the life of your loan.

By comparing multiple offers, you’ll know exactly where you stand — and you’ll have peace of mind that you’re not overpaying.

How Lendgo Makes It Simple

At Lendgo, we don’t just give you information — we help you act on it:

See real offers side by side from multiple lenders.
Use calculators to test different rates, loan types, and down payment scenarios.
Get a free quote and see what lenders are willing to offer you today.

This isn’t about guessing or hoping. It’s about knowing your numbers and letting lenders compete for your trust.