Lets start with what a mortgage Lender does -> A mortgage lender is a financial institution or mortgage bank that offers and underwrites home loans. They are responsible for setting the terms, interest rates and creating a payment schedule for a mortgage borrower.
What type of Loan do you recommend for me and why?
Will a down payment vary based on the loan I choose?
What is the interest rate and annual percentage rate (APR)?
Can I lock in an interest rate? If so, for how long?
What will my closing cost be?
It is important you understand this process. Be sure to ask your lender questions for clarification on things you might not understand so you can be fully prepared to make informed decisions.
Our team wants your transaction to be a SUCCESS! We have a few pointers to keep you on track no matter who your lender may be.
1. Don’t Deposit Cash into Your Bank Accounts Before Speaking with Your Bank or Lender. Lenders need to source your money, and cash is not easily traceable.
2. Don’t Make Any Large Purchases Like a New Car or Furniture for Your New Home. New debt comes with new monthly obligations. New obligations create new qualifications.
3. Don’t Co-Sign Other Loans for Anyone. When you co-sign, you’re obligated. With that obligation comes higher ratios as well.
4. Don’t Change Bank Accounts. Remember, lenders need to source and track your assets.
5. Don’t Apply for New Credit. It doesn’t matter whether it’s a new credit card or a new car. When you have your credit report run by organizations in multiple financial channels (mortgage, credit card, auto, etc.), your FICO® score will be impacted.
6. Don’t Close Any Credit Accounts. Many buyers believe having less available credit makes them less risky & more likely to be approved. Wrong. A major component of your score is your length & depth of credit history & your total usage of credit as a percentage of available credit.
If you have any questions about this process, reach out to us and we can connect you with any of our lender partners. A smooth transaction is the goal! Let's do this!
Curious about local real estate? So are we! Every month we review trends in our real estate market and consider the number of homes on the market in each price tier, the amount of time particular homes have been listed for sale, specific neighborhood trends, the median price and square footage of each home sold and so much more. We’d love to invite you to do the same!
You can sign up here to receive your own market report, delivered as often as you like! It contains current information on pending, active and just sold properties so you can see actual homes in your neighborhood. You can review your area on a larger scale, as well, by refining your search to include properties across the city or county. As you notice price and size trends, please contact us for clarification or to have any questions answered.
We can definitely fill you in on details that are not listed on the report and help you determine the best home for you. If you are wondering if now is the time to sell, please try out our INSTANT home value tool. You’ll get an estimate on the value of your property in today’s market. Either way, we hope to hear from you soon as you get to know our neighborhoods and local real estate market better.