Deciding on the right lender to help procure your mortgage is an important decision. It can be overwhelming trying to understand which lender is offering the best deal when comparing interest rate, points, application fee, lock-in fees, etc. It is important to compare lenders based on these various categories so that you make a prudent decision. Once you decide on a lender ask for a good faith estimate. This document will itemize closing costs and must be within 10% of the actual cost at closing. When comparing, don’t let the fact that a lender is offering 0 points lure you to apply there if the interest rate is higher. In most cases it is better to pay some points and receive a better interest rate. The bottom line is that it is important to spend some time on this issue. Sure you feel relieved that you just found a home, but keep that “shopping hat” on until you select the best mortgage fit for you. Remember that this payment will remain with you for years. Read more