Action Steps
The best contacts and resources to help you get it done

Get loan offers through Texas mortgage brokers

Talk with several of the broker's recent clients before getting a loan through that broker. Find out if the broker was able to meet all of their expectations.

I recommend: Baker Mortgage is in Sugar Land and offers brokerage services in addition to other real estate services. Houston Capital Mortgage provides banking services as well as mortgage brokerage services.

Obtain a referral for a mortgage in Texas from a real estate agent

Real estate agents usually send a substantial amount of business to their preferred lenders. A smart mortgage lender will take good care of these referrals.

I recommend: Tiemeyer Team Realtors in Plano provides a variety of home buyer resources and will disclose its preferred vendors to callers. The Miner Team is located in Round Rock and provides a list of preferred mortgage brokers in the Austin area.

Solicit quotes directly from mortgage companies in Texas

You may want to contact a lender directly if you are already comfortable with one. Local lenders should be familiar with specific factors that affect the housing market in your area.

I recommend: MKT Mortgage in Katy offers online applications along a variety of mortgage tools and information. MetLife Home Loans is located in Southlake has a step-by-step guide on the home loan process in addition to advice on choosing home loans.

Helpful advice for making the most of this Guide

• •  Texas mortgage companies may sell your loan to another company. Don't be surprised if you receive a notice from both the old and new lending company advising you of the change and providing instructions for making your payments to the new lending company. The right to service your loan also includes managing your escrows for insurance and property taxes.

1. Make sure you're working with reputable mortgage companies in Texas. It’s a good idea to check up on lenders’ records with government and better-business groups.
2. Search online and look at rates and terms on for mortgage brokers and Texas mortgage companies.
3. Whether it’s your first or second mortgage, Texas lenders and brokers aren’t the only option. National lenders and brokers may offer the best terms on mortgages.

Action Steps
The best contacts and resources to help you get it done

Search local Texas mortgage brokers and lenders associations

Texas mortgage lenders associations and mortgage brokers associations can help you find professionals who understand the local housing market and Texas mortgages.

I recommend: To secure a mortgage in Texas, consider working with a member of the Texas Association of Mortgage Brokers, where you can search for a broker by region. Or, find Texas mortgage lenders at the Texas Mortgage Bankers Association.

Consider local and regional banks for mortgage loans in Texas

Local and regional banks are some of the most common mortgage lenders in Texas.

I recommend: Search for local registered banks at the Texas Department of Banking. Or, find local banks that offer mortgage loans in Texas at USCITY.net or LocalLender.info.

Use online sources to search for Texas mortgage companies

Numerous online sources can help you shop for the best mortgage lenders in Texas.

I recommend: PreferredConsumer.com lets you search for Texas mortgages. At MortgageLoan.com, you can compare brokers and lenders by city.

Work with national mortgage lenders for Texas mortgages

Many national mortgage brokers and mortgage companies in Texas offer mortgage loans that may be right for you.

I recommend: Texas home finance options include national lenders, such as GMAC Mortgage or Wachovia, or check out Equifax, which offers a nationwide mortgage referral service. Veterans may qualify for a loan through the VA Mortgage Center.com or USAA.com, where you can get pre-approved for mortgage loans in Texas.

Check with legal authorities about mortgage companies in Texas

Make sure the mortgage brokers or mortgage lenders in Texas you're considering working with haven't been reported by borrowers for unethical business practices. A quick check will ensure your lender is trustworthy.

I recommend: Check with the Better Business Bureau of Central and South Central Texas, the BBB of Greater Houston and South Texas, the BBB of East Texas or the BBB of Southeast Texas to make sure the Texas mortgage lender or broker is legit.

Find out what local experts are saying about the Texas mortgage industry

Local real estate experts, including your own real estate agent, can provide insider dope on mortgage companies in Texas and market trends that any househunter needs to know.

I recommend: The Austin Real Estate Blog and the Fredericksburg Texas blog help you keep up with the latest trends in the rapidly changing Texas market. Also, check out Nancy Sarnoff's Real Estate Column in the Houston Chronicle.

Helpful advice for making the most of this Guide

• •  Lenders in Texas should be familiar with state fees and should have a network of local appraisers and title companies to make the process go more smoothly.
• •  Bank mortgages in Texas are negotiable. Shop around for rates from Texas mortgage companies and mortgage brokers before approaching your local bank.
• •  When comparing rates on mortgage loans in Texas, make sure all rate quotes are from the same time. They often change drastically due to market fluctuations.
• •  Tied mortgage brokers don't charge an upfront fee, but work with a limited number of lenders in Texas who pay them a commission should you choose their mortgage.
• •  An independent broker charges an upfront fee but casts a wider net, offering a variety of Texas mortgages from a host of mortgage companies in Texas.

Action Steps
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Search for reputable Texas mortgage brokers

Texas mortgage brokers are closely regulated and there are a variety of online resources you can use to investigate a mortgage broker's credentials.

I recommend: The Texas Association of Mortgage Brokers can locate a member by area code, name and zip code. The Texas Department of Savings and Mortgage Lending allows you to search for a variety licensees including mortgage brokers.

Find a directory of mortgage loans in Texas

There are a variety of websites that allow you to select a list of mortgage lenders by state. These sites typically provide other criteria as well.

I recommend: ReverseMortgage.org specializes in reverse mortgages and locates members of the National Reverse Mortgage Lender's Association by state. Mortgage Lender Universe allows you to search for mortgage lenders in Texas by keyword, city and zip.

Research mortgage companies in Texas

There are many research sites in Texas that provide information independent of any one mortgage lender. They may be able to offer specific advice on the housing market in your area and frequently have other resources to help you in your search for a mortgage loan.

I recommend: NationalRelocation allows you to compare lenders by selecting Texas for the state and providing the loan type, purpose and amount. Homethinking provides specific information on mortgage lenders in Texas and also has a summary of the mortgage lending market.

Helpful advice for making the most of this Guide

• •  An independent broker will charge you a fee upfront but will contact a larger number of Texas mortgage lenders. Tied mortgage brokers don't charge an upfront fee but only work with a limited number of lenders. These brokers usually get a commission from the lender upon approval of the loan.

Action Steps
The best contacts and resources to help you get it done

Mortgage Broker License Act for Texas

The Mortgage Broker License Act for Texas or MBLA is a statute that governs all mortgage broker practice within the state. In addition, real estate agents and property sales representatives must operate within the confines of the MBLA.

I recommend: Review the Mortgage Broker License Act information available at Mortgage QnA for further information.

Texas Department of Savings and Mortgage Lending

The Texas Department of Saving and Mortgage Lending is the governmental entity responsible for the regulation of the Texas mortgage industry. For any questions about mortgage lenders in Texas, this is the agency to contact.

I recommend: Examine the data at the Texas Department of Savings and Mortgage Lending for further details.

Texas mortgage broker license

To operate as a mortgage lender in Texas, you must have a Texas mortgage broker license. There are certain educational and professional requirements to obtain a Texas mortgage broker license.

I recommend: Evaluate the Texas mortgage broker license information at My Mortgage Trainer.

Mortgage guaranty checklist

The Texas Department of Insurance establishes the mortgage guaranty checklist for any mortgage lender that operates in the state. The checklist contains all the necessary forms to operate as a mortgage lender in the state of Texas.

I recommend: Assess the mortgage guaranty requirements for Texas from the Texas Department of Insurance.

Loan officer sponsor certification

The loan officer sponsor certification occurs when a mortgage lender sponsors a loan officer to establish a business relationship. If the relationship between the two terminates for any reason, the mortgage lender must contact the Commissioner.

I recommend: Evaluate the loan officer sponsor certification resources at the Texas Secretary of State.

Truth in Lending Act

The Truth in Lending Act establishes guidelines for writing mortgage contracts within the state of Texas. It states that no contract can include deceptive language or opaque information that misleads customers.

I recommend: Study the Truth in Lending Act details available at US Law.