What is a Mortgage?  A mortgage represents a loan or lien on a property/house that has to be paid over a specified period of time. Think of it as your personal guarantee that you'll repay the money you've borrowed to buy your home. Mortgages come in many different shapes and sizes, each with its own advantages and disadvantages. Make sure you select the mortgage that is right for you, your future plans, and your financial picture. Contact Jim to go over the different mortgage option. Buying a home for most people represents the largest purchase in their lives. Be informed about the decision you make.
As you begin your search for your new home, prepare yourself by talking to several loan companies. I recommend that you look at what a bank has to offer as well as a mortgage broker. You as the buyer are in charge of this process. Lenders are seeking your business and they should cater to your needs, not the other way around. The difference between banks and mortgage broker is quite simple. Banks and mortgage banker’s lend their own money. The will in most cases also service the loan. Mortgage brokers on the other hand are the middle man between you and the lender. Brokers charge a fee for this service in what is called origination charges. Even with the fees they charge, they can many time be better than a bank. Each situation is different, that is why I suggest that you check with several lenders to see who will give you the best rates. The Mortgage Process The mortgage process begins by contact a lender and having them pull your credit and go over your financial position. This initial process is usually done over the phone and takes only a few minutes. After the lender reviews your credit report, they will determine what price you qualify and will provide you with a pre-approval letter. After you have been pre-approved and have an idea of what price home you can afford, it is time to get to work with you REALTOR® in your search for a home. Here are some helpful hint in buying a home. After finding a home and you are in contract, you need to get together with the lender and apply for the loan and get final approval. I have provided several links below to help you make some wise choices in the loan process. Lenders: Mortgage Information:
Next step in buying a home. |