Where Can I Get Financing?
Your realtor should be able to recommend several reputable brokers that will help you compare rates of multiple lending institutions. Be sure you meet with these individuals and feel comfortable with them because intelligently financing your loan can save you thousands of dollars over the life of the loan and save you hours of frustration during escrow. Ask them to provide you with a list of fees and charges they require – not everyone tacks on the same amounts and you could save a bundle by comparison shopping.
This lender can quickly pre-qualify you for a loan over the phone or online and then you can begin comparing loans. This will help you to know how much of a loan the bank can offer you and what your monthly payments would likely be. You should consider how much you can afford as well as how much your lender has approved you for. Not all buyers choose to use the full loan amount and opt for more cash flow month-to-month.
Next, you should gather all relevant financial documents: tax returns, W2s, pay stubs, current monthly billing statements, bank statements, etc. Having this paperwork organized and ready for your lender will speed up the process of securing your loan.
Carefully review the Good Faith Estimate and make sure you understand all of the terms and conditions of the loan before you sign. The lender must provide a Good Faith Estimate by law disclosing all of the costs and fees associated with the loan.
Once you’ve submitted the information to the lender and applied for the loan you should hear back within 30 days if you’ve been approved. You’ll receive a commitment letter and then you can close your loan and purchase your home.
Cool post, just subscribed.