Applying for your new home loan

Applying for mortgage financing is one of the most exasperating parts of purchasing a home, but it doesn't have to be. I'm close with some mortgage lenders in Carthage, and they've helped me learn a few things that will make the loan application process very easy.

1 – Make a list of questions regarding your loan program

Make sure to bring a list of questions with you if you find that you don't perfectly comprehend the pros and cons of all the various loan programs. I or one of my lenders will be able to assist you with understanding the advantages and disadvantages of each program, because it can be hard to know the differences between both fixed and adjustable rate mortgages.

2 – Decide when to lock

When you lock in the interest rate, it means that your lender guarantees the mortgage interest rates for the loan – usually at the time the loan application is sent in. By floating the rate, you can lock the rate anytime between application and the issuing of closing documents. Buyers who elect to float think that the interest rates will fall in the near future. Click here to see the outlook for the next 90 days of interest rates.

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

Typically you can decide to pay additional points to lower the rate of your mortgage loan. Every point is 1 percent of the loan and is payable in cash at closing. To decide if buying points is the best option for you, click here to use our points calculator.

4 – Bring your paperwork

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