Let’s face it, it’s much more fun to search for homes online and attend open houses than it is to research your home loan. After all, what’s not to like about house hunting—you get to see beautiful homes and imagine yourself living in them.As exciting as that is, it’s the financing that hangs most of us up and may prevent you from getting into a home altogether.If you’re like many home buyers, you’re not really sure where to start when it comes to your home loan. In fact, a Consumer Financial Protection Bureau (CFPB) survey found that nearly half of home buyers don’t shop around for a mortgage lender at all—they just go with the first one that comes their way.Question: Would you marry the first person that came your way based on a single date? Or would you date around a bit to be sure they’re the right one?You’d date around, of course. Which is what we suggest you do when you’re looking for a mortgage lender—date!With all that in mind, here are five essential questions you should ask when you interview prospective mortgage lenders—way before touring your dream home. By asking these important questions, you’ll find that you can zero-in on the one that’s right for you.Ready to get started? Great. Here are the questions:
1. What is your process for preapproval and closing?Make sure the lender’s timelines line up with your home buying goals. Understand when they will pull your credit score. Don’t open or close any accounts during that time, or take out credit for any other large purchases. Ideally, you should check your own credit score first to review for any errors or issues you’ll need to address that may negatively impact your credit score.What information will your lender need to preapprove you for a home loan? Ask how long the preapproval will be valid. Typically, it’s for 60 – 90 days and can be updated as needed.Ask about the lender’s closing process. Where will it take place? Do they work with a particular law office or do they do it in house? Some lenders may offer a closing at your home or even online.
2. How do you communicate with home buyers?You never want to be the last to know. Ask how they will manage your loan process and all the steps along the way. Will you have an account representative who will inform you of updates? Do they offer an online system with notifications? Think about how you like to communicate and what works for your schedule.
3. What will be my down payment requirement?Your minimum down payment will depend on the type of loan your lender recommends for you. Talk to your lender about what you have saved, how much you’d like to put down and your goals for a monthly payment.The good news is that 20 percent down is not required today. Several loans today offer a 3 – 5 percent down payment. FHA loans, popular with first-time home buyers, have a 3.5 percent minimum down payment. And, if you are a veteran or member of the military, you have access to VA loans which offer zero percent down. Most low down payment loans require a minimum credit score of 620
.4. Do you participate in any down payment assistance programs?There are nearly 2,500 home ownership programs available across the country that can help you save on your down payment and closing costs. State and local housing agencies administer a wide range of programs, including down payment grants, affordable first loans and tax credits. They develop and manage the program, review applications and approve lenders who can issue loans with these programs.Most home buyer programs have multiple participating lenders. Find out what special low down payment programs and accompanying down payment assistance programs they may offer. Some lenders offer they own proprietary down payment help as well.Check out the programs available in your market and discuss with your lender and Realtor.
5. What fees will be included in my loan and what fees will be due at closing?Lender fees will be associated no matter what loan product choose. They include origination fees, the cost of writing the loan and closing costs. Fees are just as important as your interest rate, and there are ways to lower your interest rate with additional fees.Interest rates today are low and they are determined by the Federal Reserve. You can also lower your interest rate by paying “points.” A point is equal to 1 percent of your loan amount. For example, you might have an interest rate of 5%, but it could be lowered to 4.5% by paying 2 points at closing.The cost of your loan is determined by several factors, including your loan terms (15 years, 30 years, etc.), your credit score and your loan type. Ask your lender to outline fees based on your personal situation and by different loan options.According to the Know Before You Owe mortgage disclosure rule, your lender should provide you with the Loan Estimate and the Closing Disclosure to help you understand your fees. The rule also requires that you get three business days to review your Closing Disclosure and ask questions before you close on a mortgage.Improve your bottom line by shopping around for your home loan and interviewing lenders. Research by the CFPB found that a borrower taking out a 30-year fixed rate conventional loan could get rates that vary by more than half a percent. That could translate into saving thousands on your mortgage.
Selling a home
We have a complete end to end program to help with senior transitions. For more information go to http://socalseniortransitions.com/Here are some reports on systems that we use to help a homeowner get up to 18% more when they sell with us:Get our Maximum Payoff Guide for Sellers as seen on Amazon.com FREEor go to http://wesellhomesformore.com/ for more information on our selling process and why we sell for more.Curious about what your home is worth goto http://www.socalhomevaluenow.com/ and find out instantly. This will give you a rough estimate on what your home is worth. For an accurate home value contact me directly for a free home value assessment.
Text Sell to 951-395-8057 and learn more about why you should sell your home with Team Olsewski.
Buying a home
If you are looking to buy a home whether its your 1st or 20th its important to choose the right agent. This decision could cost your thousands of dollars! Go to www.why-buy-with-us.com and see how we can help you!
Text Buy to 951-395-8057 and learn more about why you should buy your home with Team Olsewski.
Team Olsewski’s uses a team approach to help individuals sell, buy or invest in Real Estate; they are also experienced short sale specialists. They offer an extensive internet based marketing program that sets us apart from other agents.
Why choose a Team? The simple truth is that a team will always out-perform an individual agent. Is working with an individual a bad thing? Not at all. Once up on a time, everyone on our team was an individual agent.
Team Olsewski’s work ethic and focus while working with their clients to achieve their goals is what truly sets them apart as one of the leading real estate Team’s in Southwest Riverside County. Always working as a team to achieve their client’s goals and having the ability to sense changing market trends as well as long term projections in the real estate industry makes Team Olsewski one of the best in their profession. As a Certified Internet Marketing specialist Team Olsewski has the training and knowledge to help homeowners looking to sell gain the most online exposure for their listing. Ultimately netting them the most when they sell. Team Olsewski’s has extensive experience successfully closing tough short sales with many different lenders.
Team Olsewski has multiple dedicated buyer’s agents who work exclusively with our buyers. This maximizes the home buying process thus insuring our buyers have the best possible home buying experience.
We service the Temecula, Murrieta, Winchester, French Valley, Menifee, Wildomar, Hemet, Perris, Moreno Valley, Lake Elsinore, and Corona area’s of Southwest Riverside County.
Whether you are looking for the perfect home to suit your lifestyle or want to sell your home quickly and at the highest value, Team Olsewski is the real estate Team for you. Working with you as a team, they will help you achieve your long-term and short-term goals. Team Olsewski brings the full range of their talents to make the most out of your largest investment, your home.Call them today!
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"With the way the market had been when we originally began the process of selling our home we were going to have to do a short sale. After doing some research online, we found that the VA has a compromise sale program that will save military members a lot of heartache. We originally selected Tom because he was the only realtor in the area that had discussed this process, had the knowledge, and was understanding of our situation. Even as the market value of our home increased, Tom was there to help us out and renegotiate the sale of our home. At the end of the sale we ended up making money, vice losing money and having our credit affected. Our interaction with Tom was nothing but professional throughout the entire process. He was always available and able to immediately answer all of our concerns, or find the right answer for us. Regardless of the situation you find yourself in, we highly recommend Tom for all of your home buying and selling needs, especially for the military members of this community."