Are you financing your new home in Burlington? David Massey Real Estate can help.
When purchasing a home, applying for the loan is stressful for many people, but it doesn't have to be.
I have a close relationship with some lending companies in Burlington, and they've helped me recognize a few things that can make the loan application process easy.
1 – Compile a list of questions regarding your loan program
If you do not totally realize the advantages and disadvantages of the different loan programs, be sure you bring a list of questions with you.
It is a challenge understanding the differences between 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 – Determine when you want to lock
When you lock in the interest rate, your lender is sure to commit to the interest rates for the loan – generally at the time the loan application is submitted.
By floating the rate, you can lock the rate anytime between the day you apply for the loan and at the time of closing. Buyers who choose to float think the interest rates will decline 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 decrease your rate
When you elect to pay additional points to lower the rate of your mortgage loan, you will pay for them in cash at the time of closing. Every point is 1 percent of the mortgage loan.
To decide if buying points is the best option for you, click here to use our points calculator.
4 – Gather your paperwork
Obtaining a mortgage loan requires lots of paperwork, so you should spend some time getting your documentation together. Click here to get a list of typical loan documentation.