Finding the right loan officer that you trust is critical. When going thru the mortgage process you need someone who will respond to calls and emails, because there will be many! You want a Loan Officer who can review your credit accurately and provide you the best mortgage options available based on your current financial situation.
We can refer you to the best in the business, or if you already have a chosen lender we can assist with question and answers they may have about the transaction.
Understanding Different Mortgage Options:
While the details of every loan are different, each lender has a variety of mortgage options. You’ll want to ask each lender you contact what special loan programs they offer that you may qualify for. Here are some of the basics you should know about mortgage options - make sure to discuss the different options available with your lender.
Most mortgages fall into two categories: fixed-rate and adjustable-rate. Fixed-rate mortgages provide a constant interest rate and monthly principal and interest payment for the life of the loan. The rate and payment on an adjustable-rate mortgage can fluctuate.
Loan terms: Most mortgage loans are 30-year loans. However, there are also 15- and 20-year options. Arms loans are also available. They are typically 5-7 year loans that are fixed for that time then become an adjustable rate. These loans typically have lower interest rates, but the rate will adjust after the fixed time-frame. Talk to your lender about these loans and ask if they have any pre-payment penalties.
Ways to reduce your rate: You can reduce your interest rate when you “pay for points” to lower your monthly payment. One point costs 1% of your loan amount and can reduce your interest rate by about 0.25%.
Your lender can explain the details of the loan programs available and help you decide which one is the best option for you.