Are you thinking about financing your home?

For many people, applying for a mortgage loan can be one of the more exasperating parts of buying a home, but it doesn't have to be. Being connected to some lenders in Winston-Salem has helped me realize a few things that make the process of applying for a loan a breeze.

1 – Compile a list of questions about your loan program

Be sure you have a list of questions with you if you find that you do not entirely realize the pros and cons of the different loan programs. It's a challenge to know the distinctions between both fixed and adjustable rate mortgages. I or one of my lenders will be able to assist you in understanding the advantages and disadvantages of each.

2 – Determine when to lock

When you lock in the interest rate, a mortgage lender is guaranteed to keep to the interest rates for the loan – often at the time the loan application is sent in. By floating the rate, you can lock the rate anytime between the day you apply for the loan and closing. Those who opt to float presume that interest rates will plunge in the near future. Click here to see the outlook for the next 90 days of interest rates.

3 – Decide if you want to pay additional points to lower your rate

When you elect to pay additional points to lower the rate of your mortgage loan, you will pay for them in cash at the time of closing. Every point is 1 percent of the loan. To determine if purchasing points is right for you, 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 for a list of common loan documentation.