NEW YORK--(BUSINESS WIRE)--Better Mortgage officially rolled out the Better Price Guarantee -- a promise to all of its borrowers that it will beat any competitor’s loan estimate by $1,000. If not, Better will actually give the borrower $1,000.
Better’s mission is to embolden consumers to confidently shop around while also de-risking one of the largest financial transactions they’ll ever make. According to a report published by Oliver Wyman, 71% of customers only get a loan estimate from one lender, which could mean that many home buyers aren’t actually getting the best price on their mortgage.
“Buying a house is fraught with stress - both emotionally and financially - so homebuyers might not be shopping around for the best priced mortgage. And even if they are, they might find it impossible to compare costs,” comments Vishal Garg, CEO of Better Mortgage. “If people are doing comparison pricing on their groceries, shouldn’t they be able to on what might be the biggest purchase of their lives? Our mission is to turn the mortgage industry on its head and to empower consumers with transparency, affordability and a no-BS approach leveraging technology and data. It’s why we’re putting our money where our mouth is with the Better Price Guarantee.”
Between the interest rate, points and credits, and fees like closing costs, customers often struggle to compare two offers. Better aims to be the most affordable option, which is why it pays its loan officers a salary, not commission, and caps third party appraisal fees, which can add as much as 1% every year to the interest rate consumers pay for their mortgage -- a whopping $130 billion per year that consumers could save with better mortgage pricing. Better is launching the Better Price Guaranty to help people understand their quotes and get the best deal.
How the Better Price Guarantee works:
- If the customer thinks another lender has a more competitive price, they can send Better the competitor’s Loan Estimate (LE) within three business days from the date on the loan estimate. If Better can't beat the competitor’s LE by at least $1,000, Better will give the borrower $1,000 in cash when they fund with the other lender.
- An LE is a standard form that all lenders are required to provide a consumer.
- Better Mortgage may extend this guarantee to non-standard rate sheets.
About Better: Better Mortgage is a direct lender dedicated to providing a fast, transparent digital mortgage experience backed by superior customer support designed to put the customer back in control of the home buying or refinancing process. From our offices in New York City, we're using technology to change the way people finance their homes, for the better.