Finding Honest Mortgage Information

• 1). The Federal Housing Authority (FHA) provides mortgage insurance and assistance for a variety of situations. Because they are part of the U.S. government, they are highly regulated, and you can be sure you will not get false or misleading information from their website. This is a good first place to look for information such as fair lending practices, programs for first-time home buyers and a list of FHA-approved lenders.
  
  
• 2). Another great place to find information is on the Federal Reserve website. They have articles on how to compare lenders and how to evaluate how much a loan will really cost you. They even have a loan shopping worksheet that you can download and print out.
  
  
• 3). Before you start evaluating specific lenders, it's a good idea to learn about what the mortgage terms mean. You can find this information in a mortgage glossary. You'll want to know what points are, what an ARM is and what APR means. You can find this information on many websites, or you can see the FHA glossary on the HUD website.
  
  
• 4). Once you know the basic terms and what the laws are regarding mortgages, you can approach a variety of lenders for more specific information such as current mortgage rates and available loan programs. It's a good idea to shop around to different types of lenders so you know what's out there. Try your local banks, a credit union or a mortgage broker. There even are some websites where you can enter in your personal information and have mortgage brokers contact you with their best deals.
  
  
• 5). Once you've collected all of your information, you may feel a bit overwhelmed. Now is a good time to attend a local mortgage workshop or to set up a time to speak with a nonprofit mortgage counselor to help you go through it. Having a neutral third-party help you select the best loan program is better than someone who has a vested interest in selling you on a loan. You can check on the HUD website for a list of approved housing counselors. It's better to work with someone now than it is to get into a mortgage that you may not be able to afford later.