16 Questions to Ask When Choosing a Lender Loan terms, rates and products can vary significantly from one lending company to the next. Plus, how do you handle closings in the age of COVID-19? General questions: Ą What are the most popular mortgages you offer? Why are they so popular? Ą Are your rates, terms, fees and closing costs negotiable? Ą Do you offer discounts for inspections, homeownership classes or automatic payment set-up? Ą Will I have to buy private mortgage insurance? If so, how much will it cost and how long will it be required? Ą What escrow requirements do you have? Ą What kind of bill-pay options do you offer? Ą Do you do remote closings? Ą Explain the process of closing with social distancing. Loan-specific questions: Ą What would be included in my mortgage payment (homeownerŐs insurance, property taxes, etc.)? Ą Which type of mortgage plan would you recommend for my situation? Ą Who will service this loanŃyour bank or another company? Ą How long will the rate on this loan be locked-in? Will I be able to obtain a lower rate if the market rate drops during the lock-in period? Ą How long will the loan approval process take? Ą How long will it take to close the loan? Ą Are there any charges or penalties for prepaying this loan? Ą How much will I be paying in total over the life of this loan? Source: National Association of Realtors¨ MIKROMAN6/GETTYIMAGES.