Applying for your loan with the help of FRANK WARD, REALTORS®

Applying for a loan is one of the most demanding parts of purchasing a house for a buyer, but it doesn't have to be. Having connections with several lending companies in Durham has helped me learn some things that make the process of applying for a loan very easy.

1 – Assemble a list of questions about your loan program

If you don't completely realize the ins and outs of all the different programs, make sure to bring a list of questions with you. It can be a challenge to know the differences between both fixed and adjustable rate mortgages. I or one of my lender contacts can assist you in understanding the advantages and disadvantages of each one.

2 – Determine when to lock

By locking in a rate, your lender is keeping to the mortgage interest rates for the loan – generally at the time the loan application is received. By floating the rate, you can lock the rate at any time between the day of your loan application and at the time of closing. Those who elect to float conclude that the interest rates will fall in the near future. Click here to see the outlook for the next 90 days of interest rates.

3 – Decide if you want to pay additional points to reduce your rate

Normally you can decide to pay additional points to lower the interest rate of your mortgage loan. Each point is 1 percent of the mortgage loan and is payable in cash at closing. To decide if purchasing points is right for you, click here to use our points calculator.

4 – Bring your paperwork

Getting a loan requires a lot of paperwork, so you should spend some time getting your documentation together. Click here for a list of typical loan documentation.