Examine your finances:
Be an educated consumer, know your credit situation. By meeting with a mortgage consultant up-front, you will know how much of a house you may qualify for. The rate that a lender will offer you is directly related to your current credit score and how much money you are able to put down on a new home. By doing your homework, buying a new home can be a painless and exciting process!
Where do I go to find the best loan for my situation?
Did you know? According to the National Association of Mortgage Brokers, mortgage brokers represent 65% of all home loans originated in 2002. Essentially a mortgage broker’s responsibility is to find you the perfect loan, for your credit situation. By working with a licensed mortgage consultant at Carolina Family Mortgage, you are assured that you will be taken care of. We work with over 50 different lenders to ensure that we are able to offer the best products and rates to our customers. We are constantly researching the market to maintain the most competitive and knowledgeable mortgage company in the area.
Applying for a loan:
You may prefer to meet with one of our licensed mortgage consultants before house hunting to determine how much you can afford, and the programs that are available to you. This step is known as pre-qualification and can save you time and trouble. Following is a general list of documents that you will be asked to provide
- Income verification
- Asset verification
- Prior mortgage or rental information
- A complete mortgage loan application
Should I rent or buy?
Consider this example:
Sally rents a 1-bedroom apartment for $700.00 per month. She decides to meet with a licensed mortgage consultant and is surprised to learn that she can easily qualify for a home, with a payment that is less than she is currently paying in rent! She decides on a townhouse that is selling for $85,000.00. The mortgage broker informs her that by putting down a 5% down payment, she will quality for a 5.5% fixed rate for 30 years. Based on this rate, even with private mortgage insurance, taxes, and homeowners insurance included, her new mortgage payment will only be around $600.00 per month. She will also be able to write the interest off at the end of the year, something she was never able to do with her rent. Needless to say, Sally bought her first house!