The Role of the Mortgage Broker
When shopping for a mortgage broker you need an advocate who represents only you and your best interests throughout the entire process. From helping you define your financial goals, through completing your application and signing your final closing papers, your broker should be there to answer your questions and follow up on every detail to make sure your transaction is completed without a hitch. Your mortgage broker researches a network of lenders to assemble a wide range of mortgage programs that meet your borrowing needs, with the most competitive rates and prices. Programs may include fixed rate and adjustable rate loans in addition to other creative solutions. Working with your mortgage broker you will understand the long term effects of your selection and make informed decisions. As your champion, your mortgage broker will lock in your rates and highlight your strengths when presenting your loan application. From application to the closing, as your mortgage broker should look out for your best interests.
Prequalification Process
Prequalification is a process that a prospective buyer can use to determine how much money they can borrow. While it does not constitute a commitment from a lender to make a loan, prequalification can help a prospective homeowner determine their price range. The Pre-Approval process allows you to obtain an actual mortgage loan commitment prior to the purchase of your home which can strengthen your position when you negotiate with a seller. As you begin the mortgage application process, it is important to answer these questions:
* How long do I plan to stay in this home?
* Do I anticipate that my income will rise or remain fixed?
* How important is it to me to pay down the principle?
