Christian Real Estate Blog

There are some very important considerations to evaluate before you commit to a home mortgage of any type. For many of us, our mortgage payment is the most important financial decision we'll ever make. Doesn't it make sense to know as much as possible about the financing of your home? Take the time to thoroughly investigate all of your options! Unbelievably, many of us sign the first mortgage placed in front of us. Typically the excitement of a new home purchase, lower payments or getting cash out distracts us, and reduces the realities of the new mortgage to not much more than an afterthought. What you read here could save you hundreds or even thousands of dollars.

Make sure you choose a seasoned mortgage professional who is established, is familiar with the mortgage business and answers all your questions. By aligning yourself with such an individual, you'll ensure that all the right financial steps are taken care of properly and economically.

1. Utilize a Mortgage Broker

There is truly a difference between banks, credit unions and mortgage brokers. Mortgage Brokers are much more flexible than most institutional lenders. A Broker works effectively with you, the title company, your insurance company, your realtor and other parties associated with your loan while also coordinating the best rates and fees for your new mortgage. Mortgage Brokers can make a substantial difference in setting up the most economical financing, because they offer a wider variety of choices, and this will literally save you tens of thousands of dollars over the life of your loan!

2. Don't Attempt Paperwork Alone

All the paperwork required to complete the home loan can sometimes be very intimidating and frustrating. A Mortgage Broker can make this process easier, and make sure you receive an estimate and explanation of costs before the process begins. A Mortgage Broker's expertise will help alleviate the stress while proving to be invaluable before you sign your new mortgage.

3. Look at All Your Options

Make sure you see more than one loan program before picking your mortgage. Brokers have the widest variety of programs available today, and they'll work with you on deciding which one is the best for your circumstances. After all, it's your money!

4. Demand Service

There's a big difference between a big bank, credit union or Mortgage Broker when it comes to service. There can also be a vast difference between rates and fees. A Mortgage Broker typically processes all their loans locally in their offices, which allows them to evaluate, approve and move on as quickly as possible. Don't overlook the fact that you are the one spending the money and brokers are clearly the ones who can cater personally to your needs. Most often, brokers can qualify you when most banks or credit unions won't.

5. Stay in Complete Touch

You're the customer so you should receive regular updates about your loan process and items needed. This will ensure that no details are overlooked and there will be no surprises. Feel free to ask as many questions as you like.

6. Negotiate a Flexible Loan

Don't just accept the terms that are set down in front of you. With Mortgage Brokers you can expect to receive full details of your loan while negotiating the best loan possible. Make sure that you understand the terms of your loan.

7. Don't Give Up on the First No

Having trouble getting a loan? Initial decisions are not always final decisions. Going through a Mortgage Broker can sometimes get you the loan you need, but do so with patience. Brokers can work with you to clear up credit situations and get you ready for your YES!

8. Don't Wait for Rates to Decrease

The odds of your hitting the bottom of the market are about like the odds of your hitting the state lotto! You will almost never hit the bottom of a market purposely, and trying to time it exactly right is often costly. It usually causes a person or family to miss out on the opportunity to obtain the best mortgage. You're better off simply negotiating the best rate and terms you can at the time you're ready. You can float your rate during the process stage, if interest rates go down, you can lock. This is a much better approach because you won't miss out on the best rates.

9. Be Honest With Your Broker

Your broker wants to help you with your loan. The only time they get paid is when you get approved. The more information (good or bad) you provide your broker, the easier it will be to get an approval. It helps them present the loan in the best light. This in turn helps the loan get the highest approval rating.

10. Become Completely Educated

Pick your broker's brain. They will teach you all about your various options, even if you haven't found the right property yet. They will be very patient with you while you are looking, especially if you have aligned yourself with the right agent. They understand all the up-front work will pay off in future business. You, the client, will then continue to refer people to the courteous and service minded broker on down the line.

Article compliments of:

Temple Payne -- Senior Mortgage Consultant
Universal Bancorp
www.UBLOAN.com
773-263-2718