Picture this: You’re sitting at a diner and are handed a lengthy menu with tiny text and what feels like an endless amount of choices. The minutes tick by. Your stomach begins to grumble. The waiter arrives. And you still don’t know what to order?
That feeling is called “choice overload.” It’s why we can’t decide what to order for lunch when faced with too many options — and the same psychology applies to why we struggle to make major financial decisions. When it comes to finances, choice overload isn’t just about the amount of choices but the complexity of those choices and the variables involved in each choice.
Take home loans, for example: Choosing a lender is a crucial part of the homebuying process and one that will determine the amount of money that you’ll spend over time. And yet many homebuyers fail to compare rates. With countless options to research — from lenders to loan programs to rates and fees — the mortgage process can easily become overwhelming and confusing for many. It may explain why almost 50 percent of homebuyers don’t shop before applying for a mortgage, and more than 75 percent end up applying to only one lender.
LendingTree’s comparison shopping tools not only reduce the complexity of choice overload by showing you the top competitive rates but can also save you cash. With LendingTree, you can compare and shop offers within minutes. By using LendingTree to shop around for a mortgage, a buyer could potentially save an average of about $44,500 over the life of their loan.
Learn how comparison shopping can help save you money down the homebuying road — the choice is yours. Download the LendingTree app and start shopping today.
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