Most people wait until they're under contract before they start hunting for a mortgage broker. That's like picking a surgeon after the ambulance arrives. A good broker saves you thousands. A bad one costs you the house.
Red Flags in Quotes
If the quote looks too good, it is. Low rates often hide junk fees or a lender that can't close on time. Watch for quotes that don't list the annual percentage rate or that show a rate without points. Any broker who won't put the offer in writing and email it to you is already wasting your time.
Red Flags in Communication
You call three times and get voicemail each time. No call back by end of day. That pattern doesn't get better under pressure. A broker who can't explain closing costs in plain English doesn't know the numbers either. If they dodge your questions or say "don't worry about that," worry a lot.
Red Flags in Contracts
Look for vague fee descriptions like "processing fee" or "administrative charge" with no dollar amount. If the contract locks you into a fee even if the deal falls through, that's a hard no. Also check for prepayment penalties and hidden requirements to buy discount points you didn't ask for.
How to Protect Yourself
Get quotes from three different shops on the same day. Rates move fast. Ask each one for a loan estimate form — that's the government standard. Compare line by line. Call your broker at 6 PM on a Tuesday to see if they pick up. Talk to their past clients, not just the three references they hand you. A quick search online for their name plus "complaint" tells you plenty.
Stop guessing and start comparing local mortgage brokers on RatingsNearMe.