Do you want to finance a new home in Delray Beach?
When buying a home, applying for a mortgage loan is a stressful event for most people, but it doesn't have to be.
Having connections to a lot of lending companies in the Delray Beach area has helped me understand a few things that can make the loan application process very manageable.
1 – Compile a list of questions about your loan program
Be sure you bring a list of questions with you if you don't thoroughly realize the pros and cons of the various programs.
It's hard to know the characteristics of both fixed and adjustable rate mortgages. I or one of my lender contacts will help you understand the advantages and disadvantages of both programs.
2 – Decide when to lock
When you lock in a rate, it indicates that a lender holds to the mortgage interest rates for the loan – commonly at the time the loan application is received.
By floating the rate, you can lock the rate anytime between the day you apply for your loan and issuance of closing documents. Buyers who prefer to float think that the interest rates will decline 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 lower your interest rate
Oftentimes you can decide 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. This tool will assist you with deciding if buying points is right for you.
4 – Compile your paperwork
Acquiring a loan requires lots of paperwork, so you should take some time to get all your documentation together. Click here for a list of common loan documentation.