Hoffer Realty Associates can help you finance your home.

When buying a home, applying for a loan is very troublesome for most people, but it doesn't have to be. I have a close business relationship with a lot of lenders in the DuBois area, and they've helped me learn some things that make the process of applying for a loan pretty simple.

1 – Compile a list of questions regarding your loan program

Make sure to bring a list of questions with you if you do not fully understand the ins and outs of all the different loan programs. Oftentimes, it can be a challenge to understand the characteristics of both fixed and adjustable rate mortgages. I or one of my lenders will assist you in understanding the advantages and disadvantages of both programs.

2 – Decide when you want to lock

By locking in an interest rate, a lender is keeping to the interest rates for the loan – commonly at the time the loan application is received. By floating the rate, you can lock the rate at any time between application and issuance of closing documents. Those who prefer to float presume the interest rates will dip 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

When you opt 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. If you're undecided as to whether or not buying points is right for you, click here to use our points calculator.

4 – Compile your paperwork

Getting a mortgage loan requires lots of paperwork, so you should spend some time getting your documentation together. Click here for a list of common loan documentation.