Top 3 Questions to Ask Your Lender BEFORE Buying a Home

 Buying a Home in 2025? Don’t Skip These Essential Mortgage Questions!

If you’re planning to buy a home in 2025, you probably have a lot of questions about mortgages. As a homebuyer, the right lender should guide you through the process and ensure you’re making informed decisions. But how do you know if you’re working with the right loan officer? It starts with asking the right questions.

With over 20 years of experience in the mortgage industry, I’ve compiled the top 10 questions every buyer should ask their lender before they sign on the dotted line. Here are three of the most critical ones to help you start your home-buying journey on the right foot.

1. Which Type of Mortgage Is Best for Me?

This is a crucial question that can reveal a lot about the lender you’re speaking with. If they immediately start pitching loan options without asking about your financial goals, they may not have your best interests in mind.

A knowledgeable lender should take the time to understand your situation by asking:

• What are your long-term homeownership goals?

• How much do you have for a down payment?

• What monthly mortgage payment feels comfortable for you?

• Do you have any credit concerns that could affect your loan options?

There is no one-size-fits-all mortgage. Conventional, FHA, VA, and USDA loans each have unique benefits depending on your circumstances. A great lender will help you explore options and find the loan that best fits your needs.

2. How Much Down Payment Will I Need?

Many buyers assume they need 20% down to purchase a home, but that’s not always the case. Different loan programs offer various down payment requirements:

• VA Loans – 0% down (for eligible military service members and veterans)

• USDA Loans – 0% down (for homes in eligible rural areas)

• FHA Loans – As little as 3.5% down

• Conventional Loans – As low as 3% down (depending on your qualifications)

Your down payment amount will impact your monthly mortgage payment, loan terms, and whether you need private mortgage insurance (PMI). Be upfront with your lender about how much you can afford to put down so they can match you with the right loan program.

3. Are You Doing a Hard Credit Check on Me Today?

Understanding how your credit is checked during the mortgage process is important. A hard credit inquiry may slightly lower your score, while a soft credit inquiry does not affect it.

Here’s why this matters:

• A hard credit pull signals to lenders that you’re actively seeking a mortgage.

• It may result in trigger leads, where other lenders purchase your contact information and start soliciting you.

• If you’re still in the early research phase, ask your lender if they can do a soft credit pull to review your options without affecting your score.

A good lender will explain the impact of credit checks and offer guidance on how to protect your credit score throughout the home-buying process.

Final Thoughts: Be an Informed Homebuyer

These are just three of the essential questions every homebuyer should ask their lender. The more informed you are, the better positioned you’ll be to secure a mortgage that fits your needs and financial goals.

At Your Hometown Lender, we take the time to educate and empower homebuyers, helping you navigate the mortgage process with confidence. Have more questions? We’re happy to help!

Contact me Today