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Aug. 21, 2012 /PRNewswire/ -- Consumers today are avid comparison shoppers, committed to finding the best value for their money, however many home buyers fail to follow suit, accepting the first home loan offer they receive, missing out on substantial savings
. According to a new
LendingTree survey of 1,380 homeowners conducted online by Harris Interactive from
May 31 to June 4, 2012, 89 percent of American adults compare prices when shopping for big purchases, but only 51 percent of homeowners with a mortgage comparison shopped for their current mortgage.
"Deciding on a mortgage is likely the most important financial decision consumers will ever make, yet borrowers are more often than not taking the first offer that comes their way, failing to fully capitalize on low rates," said
Doug Lebda, founder and CEO of LendingTree. "It is important for borrowers to understand that they have the power to choose which loan and which lender to use. It is acceptable to negotiate with lenders and to walk away if you are not fully satisfied. Consumers need to be engaged in the mortgage process to secure the best deal."
LendingTree data showed from
August 6 to 10, 2012 that rate variance is particularly high in the current low rate environment, with rates varying by as much as 1.5% for a 30-year fixed rate mortgage loan. For example, a consumer with a credit score of 759 and a loan amount of
$260,000 might receive quotes from lenders ranging from 3.25% to 4.625%. By choosing the lowest rate, the borrower would save
$214 per month,
$2,568 per year and nearly
$74,000 over the life of the loan.
The study also reveals that two times as many women compared to men were not involved in obtaining their current mortgage (23 percent versus 12 percent, respectively). Forty-five percent of women mortgage-holders age 18 to 34 were not involved in obtaining their mortgage, compared to 21 percent of women ages 35 to 44 and 16 percent of women 45 to 54 years of age.