It’s all about the Benjamins.
Relationships matter, “but price matters more,” according to a recent consumer lending survey from Nomis Solutions, a fintech focused on value creation for lending institutions of all sizes.
In other words, to most borrowers, it’s about dollars and cents and little else. Especially nowadays when shopping for a home loan is as easy as hunting on-line for the best deal on a new refrigerator. “Consumers can easily see and shop for rates,” the report says. “They have gotten savvier overnight and shop for mortgages like they are shopping for clothes.”
Hell, some retailers even have programs that search their competitors web sites for lower prices. And if such a price exists, the retailer will match it.
It’s doubtful whether mortgage makers will ever go that far. But if they don’t grab for the brass ring right away, would-be borrowers are likely to go on to the next one and the next one after that, on down the line, until they find the lowest rate, or at least one that’s fits their needs.