Applying for a loan with the help of Hoffer Realty Associates
A lot of buyers think applying for a mortgage loan is one of the more troublesome elements of buying a house, but it doesn't have to be.
I have a close relationship with a lot of mortgage lenders in DuBois, and they've helped me learn some things that will make the loan application process a snap.
1 – Organize a list of questions about your loan program
If you do not thoroughly comprehend the ins and outs of all the different programs, be sure to have a list of questions.
I or one of my lender contacts will be able to assist you in understanding the advantages and disadvantages of each program, because it's hard to understand the characteristics of fixed and adjustable rate mortgages.
2 – Decide when you want to lock
By locking in the interest rate, a lender is guaranteeing the interest rates for the loan – ordinarily at the time the loan application is presented.
By floating the rate, you can lock the rate anytime between the day of your loan application and the issuing of closing documents. Those who choose to float believe that interest rates will dip 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 interest rate
If you decide 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 mortgage loan.
To decide if buying points is right for you, click here to use our points calculator.
4 – Gather 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 general loan documentation.