Applying for a loan in Carthage

Applying for a mortgage loan is one of the most exasperating aspects of purchasing a home, but it doesn't have to be. Being close with a lot of mortgage lenders in the Carthage area has helped me understand a few things that will make the process of applying for a loan easy.

1 – Compile a list of questions regarding your loan program

If you do not thoroughly understand the pros and cons of the various loan programs, make sure to have a list of questions. I or one of my lenders will be able to assist you in understanding the advantages and disadvantages of both programs, because it's hard to know the differences between both fixed and adjustable rate mortgages.

2 – Decide when to lock

When you lock in the rate, it signifies that a mortgage lender guarantees the interest rates for the loan – typically at the time the loan application is sent in. By floating the rate, you can lock the rate at any time between the day you apply for your loan and issuance of closing documents. Buyers who opt to float conclude the interest rates will decline in the near future. Click here to see the outlook for the next 90 days of interest rates.

3 – Decide if you want to pay additional points to reduce your interest rate

If you choose to pay additional points to lower the rate of your mortgage loan, you'll pay for them in cash at closing. Every point is 1 percent of the mortgage loan. If you're undecided on whether or not purchasing points is the best option for you, click here to use our points calculator.

4 – Gather your paperwork

Acquiring a loan requires lots of paperwork, so you should spend some time getting your documentation together. Click here to get a list of normal loan documentation.