Are you financing a home?

Applying for financing is one of the most troublesome parts of buying a house, but it doesn't have to be. Having connections to some lending companies in the Edmond area has helped me recognize some things that will make the process of applying for a loan much easier.

1 – Organize a list of questions about your loan program

If you find that you do not fully realize the pros and cons of all the different loan programs, make sure you have a list of questions. I or one of my trusted lenders will be able to assist you in understanding the advantages and disadvantages of both programs, because it is a challenge to understand the distinctions between fixed and adjustable rate mortgages.

2 – Determine when to lock

When you lock in the interest rate, the lender is sure to commit to the mortgage interest rates for the loan – most often at the time the loan application is sent in. By floating the rate, you can lock the rate anytime between the day you apply for the loan and issuance of closing documents. Buyers who elect to float presume interest rates will dip 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

If you decide to pay additional points to lower the rate of your loan, you'll do so by paying for them in cash at the time of closing. Each point is 1 percent of the mortgage loan. To decide if purchasing points is right for you, click here to use our points calculator.

4 – Compile your paperwork

Getting a mortgage loan requires lots of paperwork, so you should take some time to get all your documents together. Click here to get a list of general loan documentation.