Are you going to finance your new home in Austin? Issac W. Harper Real Estate Broker/Realtor© can help.
For most people, applying for a loan can be one of the most exasperating elements of purchasing a home, but it doesn't have to be.
I have a close relationship with many mortgage lenders in the Austin area, and they've helped me learn a few things that can make the process of applying for a loan a breeze.
1 – Put together a list of questions regarding your loan program
If you do not totally understand the ins and outs of the various programs, be sure you have a list of questions.
It can be a challenge to know the differences between both fixed and adjustable rate mortgages. I or one of my lender contacts will assist you in understanding the advantages and disadvantages of each.
2 – Decide when you want to lock
When you lock in the interest rate, the mortgage lender is sure to commit to the mortgage interest rates for the loan – normally 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 the loan and closing. Buyers who decide to float presume 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 reduce your rate
When you elect to pay additional points to lower the interest rate of your mortgage loan, you'll pay for them in cash at the time of closing. Each point is 1 percent of the loan.
Click here to use our points calculator. It will assist you with deciding if purchasing points is the best option for you.
4 – Compile your paperwork
Getting a loan requires lots of paperwork, so you should take some time to get your documents together. Click here to get a list of general loan documentation.