Thinking about financing a home in Kyle? Rooster Realty can help.
Applying for mortgage financing is one of the most demanding elements of purchasing a home, but it doesn't have to be.
I have a close relationship with various mortgage lenders in Kyle, and they've helped me realize some things that will make the process of applying for a loan easy.
1 – Create a list of questions regarding your loan program
Be sure to bring a list of questions with you if you don't totally comprehend the advantages and disadvantages of all the different loan programs.
I or one of my trusted lenders will help you understand the advantages and disadvantages of both programs, because it can be a challenge to know the differences between fixed and adjustable rate mortgages.
2 – Determine when you want to lock
When you lock in a rate, it means that a lender commits to the interest rates for the loan – normally at the time the loan application is sent in.
By floating the rate, you can lock the rate anytime between the day you apply for the loan and issuance of closing documents. Buyers who prefer to float believe that the 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 reduce your interest rate
Normally you can elect to pay additional points to lower the interest rate of your loan. Each point is 1 percent of the loan and is payable in cash at the time of closing.
To determine if purchasing points is the best option for you, click here to use our points calculator.
4 – Gather your paperwork
Acquiring a mortgage loan requires lots of paperwork, so you should spend some time getting your documents together. Click here to get a list of common loan documentation.