Are you financing a new home in DuBois? Hoffer Realty Associates can help.

When buying a home, applying for the mortgage loan is very stressful for most people, but it doesn't have to be. Being familiar with several lenders in the DuBois area has helped me realize some things that make the process of applying for a loan pretty simple.

1 – Organize a list of questions about your loan program

If you find that you do not totally understand the ins and outs of all the various loan programs, make sure you have a list of questions. It is often hard to understand the characteristics of fixed and adjustable rate mortgages. I or one of my lenders can assist you in understanding the advantages and disadvantages of each one.

2 – Decide when you want to lock

By locking in the rate, your mortgage lender is holding to the interest rates for the loan – often at the time the loan application is presented. By floating the rate, you can lock the rate anytime between the loan application day and closing. Those who decide to float think 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 decrease your interest rate

Oftentimes you can decide to pay additional points to lower the interest rate of your mortgage loan. Every point is 1 percent of the loan and is payable in cash at the time of closing. Click here to use our points calculator. This tool will help you determine if buying points is the best option for you.

4 – Bring your paperwork

Getting a mortgage loan requires a lot of paperwork, so you should take some time to get your documents together. Click here for a list of normal loan documentation.