Are you financing your new home in Landrum?

When purchasing a home, applying for a mortgage loan is a very stressful event for most people, but it doesn't have to be. I'm very close with many lenders in Landrum, and they've helped me realize some things that make the loan application process much easier.

1 – Organize a list of questions regarding your loan program

Make sure you have a list of questions if you don't totally comprehend the ins and outs of the different programs. I or one of my lender contacts will assist you with understanding the advantages and disadvantages of both programs, because it is hard to understand the characteristics of fixed and adjustable rate mortgages.

2 – Decide when you want to lock

When you lock in the rate, it signifies that a mortgage lender keeps to the interest rates for the loan – often at the time the loan application is received. By floating the rate, you can lock the rate anytime between the loan application day and issuance of closing documents. Buyers who decide to float conclude that 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 reduce your rate

When you decide to pay additional points to lower the rate of your mortgage loan, you will do so by paying for them in cash at closing. Every point is 1 percent of the mortgage loan. Click here to use our points calculator. It will help you decide if purchasing points is the best option for you.

4 – Gather your paperwork

Getting a mortgage loan requires a lot of paperwork, so you should spend some time getting your documents together. Click here for a list of common loan documentation.