Are you going to finance your new home?

A lot of buyers believe applying for a mortgage loan is one of the most distressing elements of buying a house, but it doesn't have to be. I'm very connected to some lenders in the Newburgh area, and they've helped me realize a few things that will make the process of applying for a loan easy.

1 – Compose a list of questions about your loan program

If you don't totally comprehend the advantages and disadvantages of the different programs, make sure you bring a list of questions with you. I or one of my lenders will be able to assist you in understanding the advantages and disadvantages of both programs, because it's hard to understand the distinctions between both fixed and adjustable rate mortgages.

2 – Decide when to lock

By locking in a rate, a mortgage lender is keeping to the interest rates for the loan – most often at the time the loan application is presented. By floating the rate, you can lock the rate at any time between the loan application day and the issuing of closing documents. Those who opt to float conclude the interest rates will decline in the near future. Click here to see the outlook for the next 90 days of interest rates.

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

When you elect to pay additional points to lower the rate of your mortgage loan, you'll do so by paying for them in cash at closing. Every point is 1 percent of the mortgage loan. Click here to use our points calculator. This tool will help you decide if buying points is right for you.

4 – Bring your paperwork

Getting a loan requires lots of paperwork, so you should take some time to get your documents together. Click here for a list of common loan documentation.