Applying for your home loan in Tamuning

For a lot of people, applying for the mortgage loan is one of the most distressing elements of buying a home, but it doesn't have to be. I have a close relationship with a lot of lending companies in Tamuning, and they've helped me recognize some things that can make the process of applying for a loan a snap.

1 – Create a list of questions regarding your loan program

If you don't perfectly understand the pros and cons of all the various programs, make sure you bring a list of questions. I or one of my trusted lenders will help you understand the advantages and disadvantages of each one, because it is hard to understand the characteristics of fixed and adjustable rate mortgages.

2 – Determine when you want to lock

Locking in the rate means that your mortgage lender guarantees the interest rates for the loan – usually at the time the loan application is presented. By floating the rate, you can lock the rate anytime between application and at the time of closing. Those who choose to float conclude 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 decrease your rate

When you decide to pay additional points to lower the interest rate of your mortgage loan, you will pay for them in cash at the time of closing. Every point is 1 percent of the mortgage loan. If you're unsure as to whether or not purchasing points is right for you, click here to use our points calculator.

4 – Bring your paperwork

Getting a 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.