Are you financing a new home in North Kingstown?

When purchasing a home, applying for the mortgage loan is stressful for a lot of people, but it doesn't have to be. I'm very close with several mortgage lenders in North Kingstown, and they've helped me recognize a few things that can make the process of applying for a loan very easy.

1 – Compose a list of questions regarding your loan program

Make sure to have a list of questions if you don't completely comprehend the pros and cons of all the different loan programs. Oftentimes, it can be a challenge to understand the characteristics of fixed and adjustable rate mortgages. I or one of my trusted lenders can help you understand the advantages and disadvantages of both.

2 – Decide when to lock

When you lock in the rate, it designates that your lender holds to the interest rates for the loan – ordinarily at the time the loan application is presented. By floating the rate, you can lock the rate at any time between the loan application day and at the time of closing. Buyers who elect to float presume interest rates will dip 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 reduce your rate

Usually you can elect to pay additional points to lower the interest rate of your mortgage loan. Every point is 1 percent of the loan and is payable in cash at closing. Click here to use our points calculator. It will assist you with deciding if buying points is the best option for you.

4 – Bring your paperwork

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