 |
 |
 |
|
Dos and Do Nots
DO check to make sure the company you are doing business with is licensed by the Department of Financial Institutions. DO obtain referrals by speaking with Realtors, friends, co-workers, neighbors and family. Start with mortgage companies that these people have had good experiences with. DO ask if the mortgage company is affiliated with industry associations. Do their loan officers have experience and education? DO obtain a second or third opinion. DO ask questions if you do not understand something. DO ask if there is a pre-payment penalty. DO ask if escrows are included or excluded in the new mortgage payment DO business with a loan originator who asks lots of questions BEFORE quoting an interest rate. DO be prepared to answer questions about your employment, income, credit history and the property you wish to purchase or refinance. DO consider how much you wish to pay per month. DO understand that you may qualify for loan and payments that are more than you wish to spend. DO be skeptical of anyone who tells you that they can get you approved when no one else can. DO obtain a signed lock letter when you decide to lock an interest rate. DO NOT accept an interest rate without disclosure of the closing costs. Do NOT pay money up front to a loan originator (except for credit report and appraisal). DO NOT sign documents that offer loan terms that are not what you expected. DO NOT assume that you can change the terms of a written agreement after you sign it-no matter what anyone tells you. DO NOT overdo shopping for a mortgage provider. You will drive yourself crazy. DO NOT be pressured to sign a contract for obligation to pay a mortgage provider if the loan does not close. IF IT SOUNDS TOO GOOD TO BE TRUE, IT PROBABLY IS! |
||
 |
 |
 |