There are more than 1,000 mortgage companies in each of the 50 United States. California, being as big as it is and being home to Los Angeles, is on the high end. What do you do when you want to find a place in Southern California and you need to find a mortgage lender? Where do you start? I suggest by beginning right at home. Don't get in the car yet. Pull out the yellow pages and log on to the Internet.

Start your search by calling as many companies as you want. You'll want to call enough to get a good comparison chart going. You can also use loan comparison websites to gain a bevy of information. Ask about interest rates. Ask about fees. Start to negotiate fees, as they are always negotiable. See who is willing to be the most flexible. Talk to potential lenders about point and no point loans. Points are fees paid to the lender and are usually related to the interest rate.

Business vs. Personal

If you find a company that pushes you to say your purchase is for business instead of personal reasons, find a new company. By doing this, the mortgage lender gets to avoid the "cooling off" period. This is a period of about two or three days when you can legally cancel your contract with no consequences.

The law requires that your mortgage lender provide you with certain disclosures. By claiming a business loan, the lender gets around doing this as well. You will also want to stay away from companies that claim that they can provide loans at "no cost to you." They mean they won't charge you at closing, but they will likely put the cost into your loan. You just have to be smart when you are looking for a lender. Take your time and ask questions.