Looking to finance a home in Mechanicsville?

For many people, applying for a mortgage loan is one of the more distressing aspects of purchasing a house, but it doesn't have to be. I have a close business relationship with several mortgage lenders in Mechanicsville, and they've helped me recognize some things that make the loan application process a snap.

1 – Organize a list of questions regarding your loan program

Make sure to bring a list of questions if you find that you don't completely comprehend the pros and cons of the various loan programs. I or one of my lender contacts will help you understand the advantages and disadvantages of each program, because it can be a challenge to understand the differences between fixed and adjustable rate mortgages.

2 – Determine when to lock

When you lock in the interest rate, your mortgage lender is guaranteed to hold to the interest rates for the loan – most often at the time the loan application is submitted. By floating the rate, you can lock the rate at any time between the loan application day and issuance of closing documents. Buyers who choose to float think that interest rates will drop 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 interest rate

When you opt to pay additional points to lower the rate of your mortgage loan, you will pay for them in cash at closing. Every point is 1 percent of the mortgage loan. Click here to use our points calculator. This tool will assist you with deciding if buying points is right for you.

4 – Bring your paperwork

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