Get the Right Information
Whether you are about to buy your first home, or are planning to make a move to your next home, it is critical that you be informed about the factors involved.
Everyday people have their mortgage loan turned down because of one or more of these mistakes. By taking these few minutes to acquaint yourself with the “11 Deadly Mistakes When Applying For A Mortgage” you can save thousands on your mortgage.
1. Not Knowing How Much Money You Can Put Down
The more you put down the better rates and terms you’re likely to get.
2. Working With A Mortgage Broker Who Has A Poor Performance Record
Ask your mortgage broker about his/her performance guarantee
3. Not Understanding The Process
Most of us don’t shop for a mortgage very often. As a result it isn’t something we become familiar with. Work with a mortgage broker who will take the time to answer your questions and uses terms you understand.
4. Working With A Lender Who has Only One Investor
Working with a mortgage broker who has many investors enables you to address these issues without starting the process over again.
5. Making Large Purchases Prior to Your Mortgage Application
As total debt is a key component in determining the amount of home you qualify for it is best to wait until after your home purchase has closed to make such purchases.
6. Over Shopping Your Loan
Each time you call a lender seeking the best possible rate and terms you have your credit report pulled. Every time your credit report is pulled you risk decreasing your credit score and thus possibly decreasing the likelihood of getting it.
7. Hiding Things From Your Mortgage Broker
While it can be embarrassing to discuss issues like this, your mortgage broker is there to help you get loan approved despite such issues.
8. Making Late Payments
Late payments, especially those within the last year, can be very detrimental to getting the best rate, terms and even the difference of being approved at all.
9. Over Using Credit Cards
Keeping your total debt as low as possible helps you get the mortgage that best meets your specific needs.
10. Co-signing On Someone Else’s Loan
Signing to guarantee someone else’s loan is often a big head ache for the co-signer.
11. Not Getting All The Facts
While mortgages can look a lot alike there can be subtle differences which can save or cost you thousands of dollars.
