Applying for a loan in Baltimore

Applying for the loan can be one of the most distressing aspects of buying a home for a buyer, but it doesn't have to be. I have a close business relationship with some mortgage lenders in Baltimore, and they've helped me realize some things that make the process of applying for a loan pretty simple.

1 – Create a list of questions regarding your loan program

Be sure you bring a list of questions with you if you do not completely understand the advantages and disadvantages of all the different programs. It is often hard to understand the differences between fixed and adjustable rate mortgages. I or one of my trusted lenders will assist you in understanding the advantages and disadvantages of both programs.

2 – Determine when you want to lock

When you lock in the interest rate, it designates that the mortgage lender commits to the mortgage interest rates for the loan – most often at the time the loan application is sent in. By floating the rate, you can lock the rate anytime between the day you apply for the loan and closing. Those who decide to float conclude interest rates will drop 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 decrease your rate

Normally you can elect to pay additional points to lower the rate of your mortgage loan. Every point is 1 percent of the loan and is payable in cash at closing. Click here to use our points calculator. It will help you determine if buying points is right for you.

4 – Bring your paperwork

Acquiring a loan requires a lot of paperwork, so you should take some time to get all your documentation together. Click here for a list of typical loan documentation.