Applying for your loan in Tucumcari with help from McElroy & Associates
Most buyers think applying for a loan is one of the more troublesome aspects of buying a home, but it doesn't have to be.
I have a close business relationship with several lending companies in the Tucumcari area, and they've helped me recognize some things that can make the loan application process easy.
1 – Create a list of questions about your loan program
Make sure to have a list of questions if you find that you do not totally comprehend the pros and cons of the different loan programs.
I or one of my lenders will help you understand the advantages and disadvantages of each one, because it is a challenge to know the characteristics of both fixed and adjustable rate mortgages.
2 – Decide when you want to lock
By locking in an interest rate, your mortgage lender is guaranteeing the mortgage interest rates for the loan – normally at the time the loan application is submitted.
By floating the rate, you can lock the rate at any time between the day of your loan application and the issuing of closing documents. Those who opt to float conclude the interest rates will plunge 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
Normally you can decide to pay additional points to lower the rate of your mortgage loan. Every point is 1 percent of the mortgage loan and is payable in cash at the time of closing.
If you're uncertain as to whether or not buying points is the best option for you, click here to use our points calculator.
4 – Compile your paperwork
Acquiring a mortgage loan requires lots of paperwork, so you should take some time to get all your documentation together. Click here to get a list of typical loan documentation.