Do you wish to finance a home in Santa Barbara?

For a lot of people, applying for the loan can be one of the most stressful elements of purchasing a home, but it doesn't have to be. I'm well-connected to a lot of mortgage lenders in Santa Barbara, and they've helped me recognize some things that make the process of applying for a loan pretty simple.

1 – Compose a list of questions about your loan program

Be sure you bring a list of questions with you if you do not thoroughly understand the pros and cons of all the various loan programs. It is hard to understand the characteristics of fixed and adjustable rate mortgages. I or one of my trusted lenders can assist you in understanding the advantages and disadvantages of each one.

2 – Determine when you want to lock

Locking in a rate denotes that the lender keeps to the mortgage interest rates for the loan – generally at the time the loan application is received. By floating the rate, you can lock the rate anytime between the day you apply for the loan and the issuing of closing documents. Buyers who elect to float believe that interest rates will fall 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 decrease your rate

When you opt to pay additional points to lower the rate of your loan, you will pay for them in cash at closing. Each point is 1 percent of the mortgage loan. To decide if buying points is right for you, click here to use our points calculator.

4 – Bring your paperwork

Getting a loan requires lots of paperwork, so you should take some time to get all your documents together. Click here for a list of general loan documentation.