Don't attempt paperwork alone. The paperwork required to complete the purchase or refinance of a home could be quite intimidating and frustrating to a homebuyer. Make sure to have a mortgage professional help you with the paperwork. Their expertise will help alleviate the stress and proceed in an expeditious manner.
(2) Look at all your options. Make sure you review at least 3 different loan programs before selecting one to meet your needs. Lenders usually have many different loan programs to select from. It is important that you select a program that best meets with your specific economic situation, and addresses your needs and goals for the future. After all, it's your money.
Stay in touch and demand good service. Understand the process all the way through. It is critical that the lender that you select provides you with verbal and written status reports throughout your loan process. Each decision that is made is important. You want to get the loan approved and move into your home as soon as possible, but demand the service that it takes to avoid delays or extra costs.
Understand the positives and negatives of your loan program. Make sure to get all the details of the loan program you desire before signing. If it's a variable what is the maximum it can go up every year, what is the maximum lifetime rate, can it be converted into a fixed loan, etc.
Don't give up on the first no. Many times lenders might reject your loan the first time, but this is not a final no. Ask your lender to resubmit with the additional or clarified information, or go to a higher authority. Many times, this is all that is needed to get your loan approved.
Don't wait too long to lock in your rate. Waiting for a better rate is many times deadly. The odds of hitting the bottom of the market are very unlikely. Trying to time is right might miss out on the opportunity to purchase a fine property. You are almost always better off negotiating the best rate and terms at the time you find a property. If interest rates go down, you can refinance. This is better than the alternative of losing the house of your dreams.
(7) Speak candidly to your lender. The more information you provide your lender, the easier it will be to get approved. If there is a problem, and your lender is aware of it, he can present it in the most favorable light. This will help your loan get the highest approval rating.
