Looking to finance a new home in North Kingstown?

Most people think applying for mortgage financing is one of the most distressing elements of buying a home, but it doesn't have to be. I have a close relationship with various lending companies in the North Kingstown area, and they've helped me realize some things that make the process of applying for a loan uncomplicated.

1 – Make a list of questions about your loan program

Make sure you have a list of questions with you if you find that you don't entirely understand the pros and cons of the different loan programs. I or one of my trusted lenders can assist you in understanding the advantages and disadvantages of both programs, because it is hard to understand the characteristics of both fixed and adjustable rate mortgages.

2 – Determine when to lock

By locking in an interest rate, your mortgage lender is guaranteeing the mortgage interest rates for the loan – most often at the time the loan application is presented. By floating the rate, you can lock the rate anytime between application and closing. Those who choose to float presume that 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

When you decide to pay additional points to lower the interest rate of your loan, you'll do so by paying for them in cash at the time of closing. Every point is 1 percent of the loan. 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 a lot of paperwork, so you should take some time to get all your documentation together. Click here for a list of common loan documentation.