Are you going to finance your new home in North Kingstown?

When buying a home, applying for financing is a troublesome event for most people, but it doesn't have to be. Having connections to many lending companies in North Kingstown has helped me realize a few things that can make the process of applying for a loan a breeze.

1 – Compose a list of questions about your loan program

If you do not fully comprehend the pros and cons of the various programs, be sure to have a list of questions. I or one of my lenders will assist you with understanding the advantages and disadvantages of both programs, because it's a challenge to understand the differences between fixed and adjustable rate mortgages.

2 – Determine when you want to lock

When you lock in the rate, the mortgage lender is guaranteed to hold to the mortgage interest rates for the loan – generally at the time the loan application is sent in. By floating the rate, you can lock the rate anytime between application and issuance of closing documents. Buyers who opt to float believe the interest rates will fall 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 rate

Normally you can opt to pay additional points to lower the 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 – Compile your paperwork

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