5 Tips To Minimize Stress In The Mortgage Process

Dated: October 10 2016

Views: 264


5 Tips to Minimize Stress in the Mortgage Process

Purchasing a home is one of the biggest financial decisions many will make in their lifetime. Before you begin looking at homes however, you will likely need to first browse the mortgage market. There are many things to consider when looking at prospective mortgages, and choosing one is not a job to be taken lightly. Before shopping for a home, consider these five things to know when buying.


1. Know your budget


Take into account not only the mortgage price but also insurance, taxes, maintenance, utilities, etc. Calculate an affordable monthly payment and then figure out the corresponding home price.


2. Plan for the unexpected


Consider incidentals and accidentals. Unlike renting, when you can call your landlord to fix a broken appliance, you are responsible for anything that needs to be fixed. While you cannot plan for an accident, you should have savings set aside to be ready for the inevitable. 


3. Learn the process


Talk to lenders, agents and those who have borrowed before to better understand the way mortgages work. Having someone you know and trust to answer questions can make a world of difference and help the process seem less daunting. 


4. Shop around


When choosing a mortgage, do your research and speak to more than one lender.  Not everyone will offer you the same price. Make sure you understand the interest rate, fees, terms, and whether it is an adjustable- or fixed-rate mortgage. Ask other clients about the lender’s ability to close on time and how long it takes them to process a loan.


5. Know your lender


Become acquainted with how your lender operates. Whether it is online or paper documentation, familiarize yourself with their process and guarantee that it works for you.  


Navigating the mortgage buying process can seem overwhelming and be filled with uncertainty and stress. However, with some research and due diligence you will be well on your way to moving into your new home. 


DAVID STEVENS, PRESIDENT AND CEO, MORTGAGE BANKERS ASSOCIATION,
Source
Blog author image

Mark Ross

For Mark Ross, founder of Ross NW Real Estate and professional real estate broker, real estate has always been the career of choice. During his 25+ years in the industry, Mark has gained experience in....

Latest Blog Posts

The Housing Market Is Hot But Not In A Bubble

Existing home sales came in at a whopping 6,850,000, beating estimates with the highest print since 2006. Days on market fell from 36 days to 21 days on a year-over-year basis. Cash buyers remain at

Read More

10 Ways To Enjoy Your Outdoor Living Space All Year

Some believe that the end of summer also marks the final days of enjoying outdoor barbecues, parties, and casual get-togethers. Yet, just by adding a few design elements to your outdoor space, you

Read More

3 Ways To Tap Your Home Equity And Which One Is Right For You

You need to come up with some cash, fast. Maybe you have a leaky roof that desperately needs fixing or you need help paying for your kid's first semester of college. But where do you turn?If you're

Read More

These Pandemic Related Housing And Design Trends Are Not Going Away

Home trends come and go, but social distancing and staying at home have ushered in a new way of life—and some of those changes have spurred home trends that are likely to stick around well past

Read More