What Is Builder's Preferred Lender?
A builder's preferred (or affiliated) lender is a mortgage lender the builder recommends or owns a stake in, often tied to incentives for using them.
Why it matters
Incentives for using the preferred lender can be valuable, but it's still worth getting a competing quote from an outside lender to confirm the rate and fees are actually competitive.
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This definition is provided for general educational purposes and is not financial, legal, tax, or real estate advice. Verify important decisions with appropriately qualified professionals.
Compare the builder's offer on the numbers
Model it with the free calculator, or get a property-specific analysis of the deal.
- Free calculatorNew Construction Cost Calculator →Runs in your browser; nothing to sign up for.
- Paid reportIncentive Comparison Analysis →Understand what the builder's incentives are actually worth. Price shown before checkout.
Or analyze a specific property: Essential Property Analysis, $19 · Property Decision Analysis, $49 · Professional Property Analysis, $99. You choose the depth before you pay.