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Five mortgage mistakes to check before choosing a loan

The lowest advertised rate can distract from costs, timing and cash needs. Eric’s April 2025 video connects mortgage shopping with the decisions that happen before an offer and after a home sale.

By Eric Hamilton · Published October 6, 2026

Originally uploaded April 29, 2025 · 14:25 · Watch on YouTube

Written companion added October 6, 2026. Adapted from Eric’s video captions with source checks; not a word for word transcript. The recording retains its original date.

Compare the price of the rate

Request comparable Loan Estimates using the same loan type, down payment and timing. The video emphasizes Section A, where origination charges and points appear. Also review other loan costs, lender credits, the total payment and cash to close. If one offer includes points, ask for its additional upfront cost and monthly savings. A lower rate may take years to recover that cost.

Make the plan before the offer

Decide your comfortable payment and savings cushion before a house creates pressure to act. Then ask what has been verified for preapproval and how the rate will be locked. A quotation is not automatically a lock. Compare the lock expiration with your closing date and ask about extension costs. Have your agent explain local competition and any appraisal gap obligation before signing.

Separate sale proceeds from your next down payment

The video’s final mistake is treating sale price minus the statement balance as spendable cash. Request a seller net sheet with selling expenses and an accurate payoff estimate. Decide how much to reserve for moving, repairs and emergencies before choosing the next down payment. Paying off other debt may improve monthly breathing room, but compare remaining terms and total interest as well.

Does Section A show everything I need to compare?

No. It is a useful starting point, but lender credits, other costs, payment details and the rate lock also affect the offer.

Are points wasted if I refinance later?

That depends on how much savings you received before refinancing. Compare several loan holding periods instead of assuming a refinance will happen.

Sources and scope

The original recording discusses April 2025 conditions. Its rate predictions, inventory percentages and client payment examples are not current quotes or verified outcomes.

  1. CFPB: Compare and negotiate loan offers Accessed October 6, 2026
  2. CFPB: Points and lender credits Accessed October 6, 2026
  3. CFPB: Mortgage rate locks Accessed October 6, 2026

General education, not a loan quote, approval or an individual recommendation. Ask the appropriate professional about your situation.

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