1 – Compile a list of questions about your loan program
Be sure to have a list of questions if you find that you don't totally comprehend the advantages and disadvantages of all the various loan programs. It is a challenge to know the differences between both fixed and adjustable rate mortgages. I or one of my trusted lenders can assist you in understanding the advantages and disadvantages of each one.
2 – Decide when you want to lock
Locking in an interest rate denotes that a lender keeps 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 at any time between the loan application day and at the time of closing. Those who opt to float conclude that interest rates will plunge 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
Usually you can choose to pay additional points to lower the rate of your mortgage loan. Each point is 1 percent of the mortgage loan and is payable in cash at closing. Click here to use our points calculator. It will assist you in determining if purchasing points is the best option for you.
4 – Bring your paperwork
Acquiring a mortgage loan requires a lot of paperwork, so you should spend some time getting all your documentation together. Click here to preview general questions you'll have to answer on a loan app.
