| If you've gathered enough money for your | | | | informed questions leading to the right kind of |
| downpayment and you already have a house in | | | | answers that you want. Some people apply for a |
| mind, it's time to apply for a loan. This is often the | | | | type of loan without understanding that the |
| part of the home ownership process that can be | | | | payment terms will change in a number of years. |
| quite precarious because a lot depends on it. It | | | | Some types of loans require little downpayment |
| would also not reflect very well on your records if | | | | for the property, but would require you to take |
| you get rejected for a loan. This is why it's very | | | | out a mortgage insurance, which means an added |
| important to know what you should do in order | | | | fixed expense. If this is the case, you may ask if |
| to help your chances with getting approved for a | | | | the fee for the insurance can be added into the |
| loan. | | | | financing. Otherwise, that's another out of pocket |
| When you go to your loan application interview, | | | | expense. |
| you'll need to get your credit report ready to be | | | | Some mortgages require a very low monthly fee |
| reviewed. Now the thing about credit reports is | | | | because a lump sum is required to be paid at the |
| that you need to check it before you submit it | | | | end of a set number of years. Some mortgages |
| during your initial application interview. This is | | | | will retain a fixed interest rate for a certain |
| because a lot of credit reports may contain | | | | number of years and then increase gradually over |
| erroneous information which could either add a | | | | the years. Some have interest rates that are |
| few thousand dollars to what you're going to pay | | | | dependent on other factors. There are a lot of |
| (or the computation of your mortgage) or it could | | | | mortgages that are designed to meet different |
| get your application rejected. | | | | needs. Take advantage of this by finding out |
| To avoid the delay of your loan application, you | | | | which one is the correct type of mortgage for |
| should remember to get a copy of your credit | | | | you. |
| report a year before applying for a loan so that | | | | If you plan this out well instead of impulsively |
| you can look it over and check if anything needs | | | | rushing into the process, you'll be able to survive |
| to be corrected. | | | | the house buying process with less stress and |
| You should also have taken the time to review | | | | more time to appreciate and enjoy your |
| different kinds of mortgages so that you can ask | | | | purchase. |