Applying for a home loan with the help of Greater R.I. Properties, LLC
Applying for financing can be one of the most troublesome parts of purchasing a house for a buyer, but it doesn't have to be.
Being connected with some lenders in North Kingstown has helped me learn a few things that make the process of applying for a loan a snap.
1 – Compose a list of questions about your loan program
Make sure to have a list of questions if you don't completely understand the pros and cons of the different programs.
Oftentimes, it can be hard to know the distinctions between fixed and adjustable rate mortgages. I or one of my lender contacts will be able to assist you in understanding the advantages and disadvantages of each one.
2 – Decide when you want to lock
When you lock in a rate, the mortgage lender is sure to hold to the mortgage interest rates for the loan – normally at the time the loan application is submitted.
By floating the rate, you can lock the rate at any time between the day you apply for the loan and at the time of closing. Those who decide to float conclude the interest rates will drop 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 decrease your interest rate
Typically you can opt to pay additional points to lower the rate of your mortgage loan. Every point is 1 percent of the loan and is payable in cash at closing.
To decide if purchasing points is the best option for you, click here to use our points calculator.
4 – Compile your paperwork
Getting a mortgage loan requires a lot of paperwork, so you should spend some time getting your documentation together. Click here for a list of typical loan documentation.