A July 15 release on Bankrate’s mortgage analysis estimates that 90% of people who purchased homes with mortgages in 2025 paid more than comparable offers available through its marketplace. Across 3.2 million purchase and refinance originations, the model calculated a typical difference of $3,343 per year.
The estimate does not prove that every borrower could have qualified for or closed the lower-cost alternative. It does give agents a reason to raise mortgage comparison earlier — before a buyer becomes committed to one lender or reaches a rate-lock deadline.
How Bankrate defined overpayment
The analysis compared closed loans with low-cost offers generated through the company’s mortgage marketplace after adjusting for borrower, property, and loan characteristics. Its model considered factors such as loan size, term, down payment, loan program, estimated credit score, location, upfront fees, discount points, and lender credits.
The results are modeled estimates, not audited borrower losses. The company used its proprietary marketplace as the benchmark and estimated some borrower characteristics from related datasets because federal mortgage data do not report FICO scores. Bankrate is advertising-supported, and its marketplace does not include every lender or loan offer.
The model also cannot establish whether every benchmark offer matched a borrower’s service needs, rate-lock timing, or closing deadline. The lowest modeled cost was not necessarily the best practical fit.
Agent referrals and borrower choice
A lender introduction can help a transaction move efficiently, especially when a buyer has a complex file or a short closing timeline. Relying on one familiar loan officer, however, can leave the client without a meaningful price comparison.
The Consumer Financial Protection Bureau recommends that borrowers compare at least three lenders. Agents can preserve the convenience of a referral while making clear that buyers remain free to seek independent offers. Brokerage leaders should also review their lender referral lists periodically for current licensing, contact information, loan-program coverage, communication standards, and closing performance.
For federally related mortgage loans, RESPA generally prohibits giving or accepting fees, kickbacks, or other things of value in exchange for settlement-service referrals. Agents should follow brokerage compliance procedures for lender relationships, shared marketing, and affiliated-business disclosures.
Where the analysis found the largest gaps
The largest dollar differences appeared in high-cost California markets. The analysis estimated an eight-year gap of $48,599 in Los Angeles and $44,536 in Santa Cruz, compared with a national average of $26,744. Those figures include projected interest and upfront costs during an assumed eight-year mortgage life.
First-time buyers may need additional explanation of lender fees, discount points, mortgage insurance, rate locks, and lender credits. Agents can introduce those comparison points during the buyer consultation while directing product recommendations and underwriting questions to licensed mortgage professionals.
A mortgage-comparison workflow for agents
Agents can add a short financing check to their buyer-agent checklist:
- Obtain written Loan Estimates from multiple lenders within a short period.
- Compare the same loan type, term, amount, down payment, rate-lock period, and points or lender credits.
- Review the rate, APR, origination charges, mortgage insurance, cash to close, and five-year cost.
- Send product, qualification, and underwriting questions to licensed mortgage professionals.
After receiving the six application details identified by federal rules, a lender generally must provide a Loan Estimate within three business days. The CFPB says comparing multiple offers could save a buyer $600 to $1,200 per year.
Raise the question before the buyer reaches a rate-lock or closing deadline: Has the client compared written Loan Estimates rather than advertised rates or informal quotes? Agents should avoid declaring one offer “best,” promising approval, or interpreting loan terms. Encouraging an early comparison helps protect the buyer’s choice without turning the agent into a mortgage adviser.