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Realty Professionals
8070 21 Mile Rd.
Shelby Twp., MI 48317
ph:  586.932.2660
fax: 586.932.2662
Home > Applying for a Loan
Applying for a Loan

Securing   financing is just one part of getting into a new home. Realty Professionals is experienced at aiding new and experienced in all areas of real estate. Contact us if your needs include a professional REALTOR® experienced at the business side of buying and selling.

Thinking about financing your home? Realty Professionals can help.

When purchasing a home, applying for a loan is exasperating for most people, but it doesn't have to be. I have excellent relationships with various lending companies in Shelby Township, and they've helped me learn a few things that will make the loan application process effortless.

1 – Create a list of questions about your loan program

If you don't fully comprehend the ins and outs of all the various programs, be sure to bring a list of questions with you. It can be a challenge to know the differences between fixed and adjustable rate mortgages. I or one of my lenders can assist you with understanding the advantages and disadvantages of each program.

2 – Determine when to lock

Locking in the rate signifies that a lender guarantees the mortgage interest rates for the loan – generally at the time the loan application is presented. By floating the rate, you can lock  the rate at any time between application and the issuing of closing   documents. Those who opt to float believe interest rates will plunge 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 lower your interest rate

When you opt to pay additional points to lower the rate of your mortgage loan, you will do so by paying for them in cash at closing. Each point is 1 percent of the mortgage loan. So for example, if the mortgage amount is $200,000 and you were paying 1 point, you would expect to pay an additional $2000 at closing. Think of this as the trade-off for 'buying down' the mortgage interest rate -- you are paying more now, but as a result, paying a lower payment on an on-going basis.

4 – Gather your paperwork

Acquiring a loan requires a lot of   paperwork, so you should spend some time getting your documents together. Click here  to see normal questions you'll have to answer on a loan app.