Are you thinking about financing a new home? Villar and Company Real Estate can help.

Applying for a loan is one of the most distressing parts of purchasing a home, but it doesn't have to be. I'm connected with a lot of lenders in the Prairieville area, and they've helped me learn a few things that will make the process of applying for a loan a snap.

1 – Make a list of questions about your loan program

If you do not completely comprehend the advantages and disadvantages of all the various programs, be sure you bring a list of questions. I or one of my lenders will assist you with understanding the advantages and disadvantages of each program, because it's a challenge to understand the characteristics of both fixed and adjustable rate mortgages.

2 – Decide when you want to lock

When you lock in an interest rate, it indicates that the lender holds to 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 anytime between the day of your loan application and closing. Those who decide to float presume interest rates will fall in the near future. Click here to see the outlook for the next 90 days of interest rates.

3 – Determine if you want to pay additional points to reduce your rate

Generally you can opt to pay additional points to lower the rate of your mortgage loan. Each point is 1 percent of the mortgage loan and is payable in cash at closing. Click here to use our points calculator. This tool will help you determine if purchasing points is the best option for you.

4 – Bring your paperwork

Acquiring a loan requires a lot of paperwork, so you should spend some time getting your documents together. Click here to get a list of common loan documentation.