6. Obtain a Mortgage

Selecting a Lender

When selecting a lender, your goal is to obtain a mortgage loan with terms that are most favorable to your situation, for that visit Check into Cash. In order to find the best home loan for you, contact several lenders to discuss the mortgages they offer, their rates, closing costs, and other fees. If you have a mortgage now, contact that institution.

Rates and Duration

Two of the biggest choices you’ll make in determining your mortgage are the interest rate and duration. Combined with the amount you borrow, they will largely determine the amount of your monthly payment. The interest rate is the percentage of the loan amount you are charged to borrow the money; the higher the rate the more you pay. Mortgage rates change, subject to various economic factors. To be more certain of what they pay, most buyers “lock” their rate when they apply for their mortgage.

A lock means that the rate in the approved application will be valid for a set period of time- during which the deal must be closed-regardless of what market interest rates are at the time of closing. With fixed-rate mortgages, usually 15- or 30-year, you are charged the same percentage over the life of the mortgage.  The rate changes in an Adjustable-Rate Mortgage, or ARM, after a set number of years.

Closing Costs and the Truth in Lending Statement

There are other costs associated with a mortgage.  They might include an appraisal and “points,” a fee based on the amount of the loan. Depending on the amount of your down payment, you may also be required to carry mortgage insurance, a policy that pays your mortgage if you are unable to. So that you can see all that you’re paying for the home over the length of the mortgage, you will be given a Truth in Lending Statement, which is a federally-required good-faith estimate of all the costs associated with your mortgage and the purchase of your home.

Applying for a Loan

At this stage, you may have already made an offer on a house, decided what type of mortgage you want, and selected a lender. The next step is to fill out a loan application. Your buyer’s representative and lender together can help you understand this process and advise you as to the best loan to fit your financial situation.

Below you will find contact information for the two approved lenders of Chicago Home Partner and great estate data provider – Imbrex.

Joe Burke – Guaranteed Rate Mortgage

(Click Here to Read Joe’s Profile)

Matt Cochran – Perl Mortgage
(Click Here to Read Matt’s Profile)