When most people think of buying a home, acreage or a farm, they think about going to the big banks for a mortgage. Often people in Helena, MT, assume the big banks, due to the volume of loans they process, offer the best rates and the most flexible options.
In fact, the opposite is often the reality. Large national banks know they have a large pool of potential borrowers, so they tend to offer less flexible loan options and have more difficult standards to obtain a loan. On the other hand, smaller credit unions, based in the community, are more likely to have the flexibility to approve loans quickly and easily.
The Credit Union Difference
It is a good idea to compare the rates on real estate loans between large banks and the smaller, locally owned and operated credit unions. This will be particularly important for those buying acreages and land where there may not be a home or buildings.
Additionally, for those planning on buying commercial properties to develop, it will be critical to check the rates for various commercial real estate loans. Comparing big banks and smaller local credit unions on these types of loans will provide information on the application and approval process as well as the rates.
Have Documentation Ready
With any type of real estate loans, buyers should have all the required documentation and records available when they apply for the loan. This includes income information and verification, past tax records and proof of ownership of other properties or assets.
Smaller financial institutions usually take a personal approach to getting to know the borrower. Knowing the borrower can simplify the loan process and make obtaining a loan in Helena, MT, a far better experience than dealing with the demands of an online mortgage provider or a large, impersonal, national bank.
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