Are you thinking of financing a new home? Weichert, Realtors - Villar and Company can help.

For a lot of people, applying for a loan can be one of the more exasperating elements of buying a home, but it doesn't have to be. I have a close relationship with several mortgage lenders in Prairieville, and they've helped me recognize some things that make the process of applying for a loan pretty simple.

1 – Organize a list of questions about your loan program

Make sure you bring a list of questions if you find that you do not perfectly realize the pros and cons of all the different programs. I or one of my lender contacts will assist you in understanding the advantages and disadvantages of both programs, because it is hard to understand the characteristics of fixed and adjustable rate mortgages.

2 – Determine when you want to lock

When you lock in the interest rate, a lender is sure to commit to the mortgage interest rates for the loan – normally at the time the loan application is received. By floating the rate, you can lock the rate at any time between the day you apply for the loan and the issuing of closing documents. Those who prefer to float think that 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

Typically you can elect to pay additional points to lower the rate of your loan. Each point is 1 percent of the loan and is payable in cash at closing. Click here to use our points calculator. This tool will assist you in determining if buying points is the best option for you.

4 – Gather your paperwork

Acquiring a loan requires a lot of paperwork, so you should spend some time getting all your documentation together. Click here for a list of normal loan documentation.