Key takeaways:

• Most consumers today start their shopping journey online, and mortgages are no exception.
• Hiding rate info can create friction, while showing it creates a smoother experience for the lead.
• Showing accurate rate information helps lenders build credibility and trust early.
• That trust can shorten the pathway to application and move people toward the closing table. 

If people need something relatively cheap or basic, they might run out to a local store to grab it. But as the price and importance of the item goes up, so does their level of research. That’s true with larger purchases like TVs, cars, and furniture. And it’s definitely true for a mortgage. 

It’s easier to comparison-shop online than in person. That’s probably part of the reason behind recent Fannie Mae data. It revealed that 71% of people preferred finding their mortgage lender online over in person. The younger the demographic was, the more homebuyers wanted to keep things online. That means the preference for a digital experience will likely become more commonplace as younger generations take up a larger share of the market.

This presents an opportunity for your lending institution. If you show real rates on your website, you can build trust from the first interaction.  

They want information, not a loan officer (yet)

The majority of potential homebuyers don’t hop online to pin down a specific lending company. Instead, they’re comparison-shopping. They want to know what’s available today and what their options might be. 

Before they go to specific lender websites, they might be looking at rate tables (e.g., NerdWallet, Bankrate) or using options like Google’s mortgage calculator. They care much more about the individual mortgage they’re likely to get than the lender who will offer it. 

Specifically, based on the price of the house they want to buy, they’re trying to figure out:

• What type of mortgage works best for them (fixed vs. ARM)
• What interest rate to expect
• If they’ll have to pay for private mortgage insurance
• What their monthly payment will be
• How much money they need to put down

As a lending professional reading this, you know that the answer to all of the above is: “It depends.” The best way for the homebuyer to figure all of that out is to work with a loan officer. 

Typically, though, people aren’t ready for that step right away. They want to feel somewhat informed before they sit in the room with a mortgage pro. 

You can help there here. Showing current mortgage rates helps them start to get their feet under them. 

The big opportunity for lenders: Transparency builds trust

You might not want to showcase rates because it feels a little like giving away something for free. But think about it from the homebuyer’s perspective. 

If your rates live behind a “Call for Rates” button, they might wonder what you’re hiding. Worse still, they know they can get rate information from other lenders. 

People aren’t patient in the modern world. Instant access to information and same-day delivery has limited our willingness to wait. If they can get the info they want from someone else today, why would they wait for a call with you tomorrow?

Fortunately, the reverse is also true. When you showcase live mortgage rates, you give people what they want, and you help to build a positive perception of your company in doing so. To further realize the trust-building benefit here, we typically recommend pairing those rates with reviews. 

Building trust with rates

When people seek out information about mortgage rates, they’re not looking for national averages. They want to know what they can get. 

You can provide that information by pairing live rate tables with options like personalized rate dashboards and calculators. This way, people can play with the numbers to see what loan scenarios best fit their situation. 

We’ve built website widgets to pull live rate data straight from your pricing engine so you can always give leads an accurate idea of what’s on offer. And we’ve included the necessary disclosures to keep you compliant, too. All of this helps that potential borrower to think of your company favorably. You’re being helpful and informative before they’ve even spoken with your team.

Because transparency builds trust, it helps to publish your rate information with key details. You might show both the interest rate and the APR, for example, along with an estimate of the associated fees. 

Lots of lenders showcase live rates today. Including all of the pricing information the borrower should consider gives you a leg up. It shows the lead that you want them to be informed and empowered to make the best decision for themselves. 

Establishing credibility with reviews

To further build trust, you can use a rate table that features reviews from sites like Google or Zillow. This social proof helps you show that you’re not just committed to offering useful information. You offer good service alongside it, too. 

We can help you tailor this to best highlight your company. If your reviews are better on one site than another, you can showcase that sampling alongside your rates. When potential borrowers see that other real humans have had a positive experience with your team, it gives you a competitive edge. 

One step further: What personalized rates can do

Live rate displays are a critical component in the modern mortgage website. Reviews help to build trust, too. But let’s bring this back to where we started: people are likely on your website seeking information that applies to them. 

Generic rates only go so far here. Having rate display tools that customize the rate to the loan scenario uplevels your site. You can even offer a customer rate dashboard so that people can price their own loan scenarios.

This way, your website becomes a major resource for them. And once they associate your company with a positive experience, they become a lot more likely to choose you as their lender. 

A mortgage represents one of the biggest financial decisions most people ever make. Trust consequently plays a huge role. And you can start to build that trust by offering informative, personalized experiences the moment they visit your website.

To explore getting live rates on your website in a matter of days, book a demo with our team today.

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