Are you financing a new home in DuBois?
A lot of people think that applying for financing is one of the most demanding elements of purchasing a house, but it doesn't have to be.
I have a close relationship with many 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 – Organize a list of questions regarding your loan program
If you find that you do not completely comprehend the advantages and disadvantages of all the different loan programs, make sure to bring a list of questions with you.
It can be a challenge to know the distinctions between both fixed and adjustable rate mortgages. I or one of my lender contacts can assist you in understanding the advantages and disadvantages of each one.
2 – Determine when to lock
Locking in an interest rate means that the mortgage lender commits to the mortgage interest rates for the loan – most often at the time the loan application is received.
By floating the rate, you can lock the rate at any time between the day you apply for your loan and issuance of closing documents. Buyers who prefer to float presume 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 decrease your rate
Normally you can decide to pay additional points to lower the rate of your loan. Every point is 1 percent of the mortgage loan and is payable in cash at the time of closing.
Click here to use our points calculator. It will assist you in deciding if purchasing points is the best option for you.
4 – Gather your paperwork
Acquiring a mortgage loan requires a lot of paperwork, so you should spend some time getting your documentation together. Click here to get a list of typical loan documentation.