The process of buying a new home involves a great deal of preparation and important decision-making. Although owning a home is one of the best decisions that an individual can make, the journey to reaching the goal can be frustrating and cumbersome. In addition to having a down payment and adapting your budget to accommodate a monthly mortgage, there are other expenses required to close on the home and properly maintain it. There are title fees, mortgage insurance, inspection costs, appraisal fees, property taxes and more. If you’re shopping for a loan for a new home, it’s beneficial to speak with reputable lenders, such as Embrace Home Loans.
Working with a Loan Officer
It’s important to work with a loan officer who will guide you through the process of obtaining a mortgage and work in your best interest to help you get approved for the loan that fits your budget. Your loan officer should strive to offer the mortgage loan that’s affordable and include the lowest possible interest rates. The loan officer can help you determine what you can afford by evaluating your financial information and your credit and taking the amount of your down payment into consideration. If you’re not ready to select the lender, you can request a pre-qualification or pre-approval letter. The letter includes an estimate of the loan amount that you qualify for based upon the information that you supplied to the loan officer.
Some homebuyer programs also require borrowers to go through a counseling course regarding the different aspects of searching for a home and choosing the right mortgage. A counseling course can help you understand the steps to obtaining a mortgage including the application process, making an offer on a loan and preparing for closing. When you choose the right lender, the loan officer will organize your application paperwork and proceed to the underwriting process. Once your application is approved, there are conditions that must be satisfied before closing. Click here to learn more about buying a home.