Are you financing your new home in Barre?

1 – Put together a list of questions about your loan program

Be sure you bring a list of questions with you if you find that you do not thoroughly grasp the pros and cons of the different programs. It's a challenge to know the characteristics of both fixed and adjustable rate mortgages. I or one of my lender contacts will assist you in understanding the advantages and disadvantages of each program.


2 – Determine when you want to lock

By locking in the interest rate, a mortgage lender is keeping 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 at any time between the day of your loan application and closing. Buyers who decide to float conclude that interest rates will drop 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 reduce your interest rate

If you opt to pay additional points to lower the rate of your mortgage loan, you'll pay for them in cash at the time of closing. Every point is 1 percent of the mortgage loan.


4 – Bring your paperwork

Acquiring a mortgage loan requires a lot of paperwork, so you should take some time to get all your documentation together.