When do we decide on a loan officer? (preapproval, fees, rate)

[sheriwx]

We offered on a foreclosure, almost two weeks later the bank started sending us counteroffer addendums (in a few different batches). We sign them and send them back immediately.

My realtor says we aren't under contract until THEY sign everything and give it back to us (thus the 10 day inspection period doesn't start until we receive the paperwork back).

Well today they want us to give them the information for which loan officer we are going to for sure go with before they sign the contract. I'm a little confused by this, I wasn't aware that we had to have a locked in lender BEFORE we were even under contract. Is this normal?

[VictorBurek]

How do you know if you qualify to buy the home? You should already be speaking to a loan officer who can preapprove you. Without a preapproval or prequalification, how does the bank who owns the property know that you are serious and can even qualify?

[sheriwx]

We had a preapproval with two other lenders (INCLUDING BofA, the sellers) that we had already submitted with the offer. (Interestingly, we've decided to go with a third lender who will beat the other two in rates and fees.)

[VictorBurek]

That's good, just give them the name of one of them. You can always switch. BofA doesnt have good rates. I am actually working with a BofA loan officer right now on her refinance cause the rate i could get her is much better than she can get herself with BofA.