Are you going to finance your new home in Prairieville?

When buying a home, applying for a loan is distressing for a lot of people, but it doesn't have to be. I have a close relationship with various mortgage lenders in the Prairieville area, and they've helped me learn some things that can make the process of applying for a loan uncomplicated.

1 – Compose a list of questions about your loan program

If you don't perfectly realize the advantages and disadvantages of the various programs, be sure you have a list of questions with you. I or one of my lender contacts will help you understand the advantages and disadvantages of both programs, because it can be a challenge to know the differences between both fixed and adjustable rate mortgages.

2 – Decide when you want to lock

When you lock in a rate, the mortgage lender is sure to hold to the interest rates for the loan – typically at the time the loan application is sent in. By floating the rate, you can lock the rate anytime between the day of your loan application and at the time of closing. Buyers who choose to float presume 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 interest rate

Normally you can choose to pay additional points to lower the rate of your loan. Every point is 1 percent of the loan and is payable in cash at closing. To decide if buying points is the best option for you, click here to use our points calculator.

4 – Gather your paperwork

Getting a mortgage loan requires a lot of paperwork, so you should spend some time getting your documentation together. Click here to get a list of normal loan documentation.