It has never been a better time to consider getting a home
loan with rates at historic lows and home prices softening.
Purchasing a home is often the biggest investment one will
make within their lifetime. Prior to purchasing a home
there are many things to consider. You will want to have
goals in place that support your decision and loan type.
Different loan types can cater to your current and future
financial needs. Always understand that mortgage companies
understand that your needs and future expectations change.
At any point you're within your loan you can refinance and
adjust your loan type and length but this often includes
fees and charges that can be avoided by not changing the
terms of your loan.
The first step one should take in consult with a seasoned
loan professional. This would include a mortgage broker or
loan officer that has been originating mortgages for a long
period of time. It is not wise to make such a large
investment with someone who is not familiar with each
aspect of the industry. Create a list of questions that
you have prior to contacting the professional so they will
get a good feel of what your goals and expectations are.
Be prepared for a credit check and be able to provide up to
2 years of income documentation. Your loan specialist will
then provide you with an amount you will be able to get
approved for along with what the expected monthly payment
will be should you decide to take a loan out for the given
amount.
If your goal is to purchase a home to live in it for at
least 30 years it is best to get a 30 year fixed mortgage.
This will allow your new home to be fully paid off over a
30 year period. After 30 years you will only have the loan
paid off but you will also have equity that was obtained.
Over the history of the real estate industry, housing
pricing has shown incredible returns for their owners.
Many other options are also available such as lower fixed
periods, ARM, and jumbo loans. Your mortgage professional
will best fit you with your loan type.
As a consumer it is also important that you trust your loan
professional. Should you decide purchasing a home is the
right path for your future you should make sure that the
origination process is completed in a reasonable manner?
Loan professionals are paid on what is known on the
industry as points. Each point is a percentage on the
actual amount being provided from the lender. These points
can be clearly stated on the loan forms but also can be
included in the actual rate you are being provided. Ensure
you are aware of all the charges you acquiring to prevent
from being over charged by a loan professional.
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Start shopping for a home loan from Torres Lending today -
http://www.torreslending.com . Article written and
distributed by Steve Cancel of Secure Link -
http://www.slwebsolutions.com .
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