Feel confident. Get clear answers. Make smart decisions.
Buying your first home is exciting… and a lot to take in. With so many moving parts, it’s easy to feel unsure about what to ask a lender — or what the answers even mean.
This guide gives you the exact questions to ask any lender, explained in plain English, so you can compare options, avoid surprises, and feel confident from pre-approval to closing.
✅ 1. How fast can I get pre-approved?
A strong offer starts here. A lender should be able to pre-approve you within 24 hours of receiving your documents — ideally with an underwriter-backed approval, not just a verbal pre-qual.
✅ 2. Is my approval actually guaranteed by underwriting?
Some lenders issue “approvals” no underwriter has even seen.
You want an approval the lender stands behind — as long as your financials don’t change.
✅ 3. Do you offer an on-time closing guarantee?
Missing a closing date can cost money or the house.
A serious lender will put a guarantee in writing, with defined timelines and compensation if delays are their fault.
✅ 4. What exactly does that guarantee cover?
A guarantee only matters if you know:
• what counts as lender-caused
• what happens if they miss the date
• whether terms exclude everything
✅ 5. When do you lock my interest rate?
Your lender should be crystal clear about:
• when you lock
• how long the lock lasts
• how you receive written lock confirmation
Unlocked = unpredictable payment.
✅ 6. Do you offer a zero-cost loan option?
This option trades a slightly higher interest rate for lender credits that cover closing costs today.
It’s great if you want to save cash upfront — as long as you see the math clearly.
✅ 7. Are you a bank, mortgage banker, or mortgage broker?
These three operate differently:
Banks (Direct Lenders)
Offer only their own programs; often assembly-line; cannot switch lenders if issues arise.
Mortgage Bankers
Also limited to in-house programs; loan officers are “captive” to one company’s offerings.
Mortgage Brokers ✅ (your strongest ally)
Not captive. They shop many lenders and can switch lenders mid-process if something unexpected comes up — preserving your deal.
✅ 8. (For brokers) How do you choose which lender to use for me?
A good answer explains why a specific lender fits your:
• income and credit
• property type
• timeline
• loan program needs
✅ 9. How do you get paid?
A lender should explain their compensation in plain English.
No mystery fees. No vague answers.
✅ 10. Do you offer lock-and-shop?
This protects you from rising rates before you find a home.
You need clear rules on:
• how long the lock lasts
• extension fees
• deadlines
✅ 11. How long is the lock-in period?
Lock lengths range from 5 days to 365 days (especially for new construction).
Most escrows are 30–45 days.
Longer locks cost more, so you want the shortest safe lock with clear extension policies.
✅ 12. Do you offer a float-down if rates drop after I lock?
This allows you to take advantage of lower rates once, if the market improves enough.
Ask for written details: thresholds, timing, and fees.
✅ 13. Do you guarantee your lender fees?
This helps prevent last-minute surprises on your Closing Disclosure.
Look for guaranteed lender fees, and honest estimates on third-party fees.
✅ 14. Are you related to or compensated by the real estate company or escrow?
Many brokerages own or financially benefit from their preferred lenders/escrow companies (known as Affiliated Business Arrangements — AfBAs).
Always ask. Transparency matters.
✅ 15. How long have you been in the mortgage business?
Experience helps avoid underwriting surprises and deal delays.
✅ 16. Is mortgage advising your full-time job?
You need a lender who is available — not someone juggling this part-time.
✅ 17. Do you own a home?
Lenders who have gone through the process themselves can better anticipate your concerns and explain things in practical terms.
✅ Want a second opinion or have questions about your options?
I’d love to help you feel confident and informed at every step.
Athena Paquette
NMLS #321683 • CA DRE #01142629
30+ years helping buyers succeed
310-218-6855