Finding The Right Home Mortgage
54.
How Do I Choose The Best Home Mortgage?
Your personal situation will determine the best kind of home mortgage loan for you. By asking yourself a few questions, you can help narrow your search among the many home mortgage loan options available and discover which home mortgage loan suits you best.
- Do
you expect your finances to changeover the next few years?
- Are
you planning to live in this new home for a long period of time?
- Are
you comfortable with the idea of a changing home mortgage payment amount?
- Do
you wish to be free of home mortgage debt as your children approach
college age or as you prepare for retirement?
Your
home mortgage lender can help you use your answers to questions such as these
to decide which home mortgage loan best fits your needs.
55.
What Is The Best Way To Compare Home Mortgages Between Lenders?
First,
devise a checklist for the information from each home mortgage lending institution.
You should include the home mortgage company’s name and basic information, the
type of home mortgage loan, minimum home mortgage down payment required, home mortgage interest rate and
home mortgage points, home mortgage closing costs, home mortgage loan processing time, and whether mortage loan prepayment is allowed.
Speak
with home mortgage companies by phone or in person. Be sure to call every home mortgage lender
on the list the same day, as home mortgage interest rates can fluctuate daily.
In addition to doing your own research, your real estate agent may
have access to a database of home mortgage lender and home mortgage loan options. Though
your agent may primarily be affiliated with a particular lending
institution, he or she may also be able to suggest a variety of
different home mortgage lender options to you.
56.
Are There Home Mortgage Costs Associated With The Loan Origination Process?
Yes.
When you turn in your home mortgage application, you’ll be required to pay a
home mortgage loan application fee to cover the costs of underwriting the home mortgage. This
fee pays for the home appraisal, a copy of your credit report, and
any additional charges that may be necessary. The home mortgage application fee
is generally non-refundable.
57.
What Is RESPA?
RESPA
stands for Real Estate Settlement Procedures Act. It requires home mortgage lenders
to disclose information to potential customers throughout the home mortgage
process, By doing so, it protects home mortgage borrowers from abuses by lending
institutions. RESPA mandates that home mortgage lenders fully inform home mortgage borrowers about all home mortgage closing costs, home mortgage lender servicing and escrow account practices,
and business relationships between closing service providers and
other parties to the transaction.
For
more information on RESPA,
or call 1-800-569-4287 for a local counseling referral.
58.
What Is A Good Faith Estimate, And How Does It Help Me?
It’s
an estimate that lists all home mortgage fees paid before closing your home mortgage, all home mortgage closing
costs, and any escrow costs you will encounter when purchasing a
new home. The home mortgage lender must supply it within three days of your home mortgage application
so that you can make accurate judgments when shopping for a home mortgage loan.
59.
Does The Home Mortgage Lender Have Any Additional Responsibilities?
Home mortgage lenders
are not allowed to discriminate in any way against potential home mortgage borrowers.
If you believe a home mortgage lender is refusing to provide his or her services
to you on the basis of race, color, nationality, religion, sex,
familial status, or disability, contact HUD’s Office of Fair Housing
at 1-800-669-9777 (or 1-800-927-9275 for the hearing impaired).
60.
What Responsibilities Do I Have During The Home Mortgage Lending Process?
To
ensure you won’t fall victim to loan fraud, be sure to follow all
of these steps as you apply for a new home mortgage:
- Be
sure to read and understand everything before you sign.
- Refuse
to sign any blank home mortgage documents.
- Do
not buy residential property for someone else.
- Do
not overstate your income.
- Do
not overstate how long you have been employed.
- Do
not overstate your assets.
- Accurately
report your debts.
- Do
not change your income tax returns for any reason. Tell the whole
truth about gifts. Do not list fake co-borrowers on your loan
application.
- Be
truthful about your credit problems, past and present.
- Be
honest about your intention to occupy the house.
- Do
not provide false supporting documents.
For more helpful mortgage tips on a home mortgage, mortgage refinancing, home mortgages, reverse mortgages or a home equity line of credit, contact FreeLoanComparison.com today!
Last update: November 14, 2008
