Do you wish to finance your new home?

For a lot of people, applying for a loan can be one of the more demanding elements of purchasing a home, but it doesn't have to be. I'm very well-connected with various mortgage lenders in Mount Holly, and they've helped me recognize some things that make the loan application process uncomplicated.

1 – Create a list of questions regarding your loan program

If you find that you don't fully understand the pros and cons of the different loan programs, make sure you bring a list of questions. I or one of my trusted lenders will assist you in understanding the advantages and disadvantages of both programs, because it is hard to understand the distinctions between fixed and adjustable rate mortgages.

2 – Determine when you want to lock

When you lock in a rate, a mortgage lender is guaranteed to hold to the interest rates for the loan – typically at the time the loan application is sent in. By floating the rate, you can lock the rate at any time between the day you apply for your loan and issuance of closing documents. Those who choose to float believe the interest rates will decline 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

Typically you can decide 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 closing. If you're unsure as to whether or not buying points is the best option for you, click here to use our points calculator.

4 – Bring your paperwork

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