Do you want to finance your home?
When purchasing a home, applying for a mortgage loan is very demanding for many people, but it doesn't have to be.
I'm very connected with some lending companies in Carthage, and they've helped me understand a few things that can make the process of applying for a loan easy.
1 – Compile a list of questions about your loan program
If you find that you do not fully comprehend the pros and cons of the different loan programs, be sure you have a list of questions with you.
I or one of my lender contacts can assist you with understanding the advantages and disadvantages of each program, because it is hard to understand the characteristics of fixed and adjustable rate mortgages.
2 – Determine when you want to lock
By locking in a rate, a lender is committing to 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 at any time between the day you apply for the loan and issuance of closing documents. Those who prefer to float conclude the interest rates will plunge 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 decrease your interest rate
If you elect to pay additional points to lower the interest rate of your mortgage loan, you'll pay for them in cash at closing. Every point is 1 percent of the loan.
To determine if purchasing points is the best option for you, click here to use our points calculator.
4 – Bring your paperwork
Obtaining a mortgage 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.