Are you going to finance your new home?
For a lot of people, applying for a loan can be one of the more troublesome parts of purchasing a home, but it doesn't have to be.
Being connected to some lenders in the Davie area has helped me understand a few things that will make the process of applying for a loan uncomplicated.
1 – Put together a list of questions regarding your loan program
If you find that you don't completely comprehend the pros and cons of the various programs, be sure to bring a list of questions.
It can be hard to understand the distinctions between both fixed and adjustable rate mortgages. I or one of my lenders will be able to assist you in understanding the advantages and disadvantages of each one.
2 – Decide when to lock
Locking in means that your lender holds to the mortgage interest rates for the loan – normally at the time the loan application is presented.
By floating the rate, you can lock the rate at any time between the loan application day and the issuing of closing documents. Those who opt to float presume interest rates will drop 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 decide to pay additional points to lower the interest rate of your mortgage loan, you will pay for them in cash at closing. Each point is 1 percent of the mortgage loan.
Click here to use our points calculator. It will help you determine if purchasing points is the best option for you.
4 – Gather your paperwork
Acquiring a mortgage loan requires lots of paperwork, so you should take some time to get your documents together. Click here for a list of common loan documentation.