Looking for a loan can be a really stressful process if you are not prepared. You have to play with all of these numbers and try and figure out exactly how much of a loan that you can afford. You have to sit down and start looking at beaumont homes for sale. But worst of all, you actually have to talk to someone about obtaining the loan. Are you preparing for this discussion with your potential lender with dread? There are two big questions that you should ask your lender before you decide to take out a mortgage.
What is the interest rate, and can I lock it in? The interest rate is the first thing that you need to talk to your lender about. Why? Because that interest rate can make or break your budget. You can try to calculate how much a particular loan will cost you every month, but you won’t truly know until you can get an interest rate hammered down. The obvious next question is, will the interest rate be the same now (when I’m getting a quote) as it will be when I actually apply for the loan (i.e. six months from now). Because of the ever-changing economy and the fluctuation of market prices, the answer is usually no. In some cases, your lender will allow you to lock in a rate for a small fee.
What do I need to apply for a loan? There are some things that are standard when you are applying for a loan (or really, any loan).
- Proof of income
- Proof of assets (bank statements, etc)
- Proper identification
Your particular lender may require other documentation as well, so make sure to get a checklist of exactly what you need.