Big Shop or Local Lender: Is it worth saving 40bps?

[Emmett O.]

Hi everyone,

I'm in the process of buying my first investment property and I have a conundrum. I thought I was all set up to use my mortgage broker that I used for my first house but when she got back to me the rate was much higher than I expected.

With that issue popping up I shopped around and got a lower rate from Quicken. The rate she gave me was 6%, the rate Quicken gave me was 5.625%.

My question is: is it worth saving 40bps just to get the cheaper loan? Or should I stick with the local lender? My preference is the local lender but I was wondering if anyone had any further wisdom or can relate to this story.

Thanks everyone for your help!

-Emmett