Applying for a loan in Colorado Springs with help from Brian L. A. Wess
Applying for a mortgage loan is one of the most demanding elements of buying a house, but it doesn't have to be.
I'm connected with many lending companies in Colorado Springs, and they've helped me realize some things that can make the loan application process pretty simple.
1 – Organize a list of questions about your loan program
If you do not completely understand the ins and outs of all the different programs, be sure to bring a list of questions with you.
It is often a challenge understanding the differences between fixed and adjustable rate mortgages. I or one of my lender contacts will be able to assist you with understanding the advantages and disadvantages of both programs.
2 – Decide when to lock
When you lock in the interest rate, a lender is guaranteed to commit to the interest rates for the loan – usually at the time the loan application is presented.
By floating the rate, you can lock the rate anytime between the loan application day and closing. Those who choose to float think that 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 reduce your interest rate
When you decide to pay additional points to lower the interest rate of your mortgage loan, you'll do so by paying for them in cash at the time of closing. Each point is 1 percent of the mortgage loan.
To decide if you should purchase points, click here to use our points calculator.
4 – Compile your paperwork
Acquiring a mortgage loan requires a lot of paperwork, so you should spend some time getting your documentation together. Click here to get a list of general loan documentation.