As a mortgage broker and banker, I hear all the time that clients are “shopping” interest rates—but the reality is that experienced investors know rate alone rarely tells the full story. In this post, we break down the three biggest mistakes new investors make when shopping for a mortgage: focusing only on the interest rate, undervaluing lender experience and relationships, and choosing the wrong loan program simply because it offers a lower rate. Through real-world examples—including a detailed comparison of conventional loans versus DSCR loans—we show how a slightly higher rate can actually lead to significantly greater long-term savings when tax strategy, cash flow, and investment goals are considered holistically. The takeaway is simple: the right lender and the right program matter far more than chasing the lowest advertised rate.

As a mortgage broker and banker, I often hear that a client of mine is "shopping" interest rates.  (This is already a bit ironic, because my full-time job, 50+ hours and 5-6 days a week is shopping for rates and products, so I am pretty good at it).  But I get the sentiment and understand why people feel the need to do this.  I see this mostly with new and inexperienced investors which is why I wanted to write this post to help newer investors avoid some of the pitfalls I see every day.