Smart advice for your mortgage success
Mortgage Tips
Before Applying for a Mortgage
1. Get pre-approved early
Pre-approval shows sellers you’re serious, clarifies budget, and can strengthen offers in competitive markets.
2. Know your credit score (and what affects it)
Small changes—like paying down credit cards or avoiding new debt—can improve rates.
3. Save beyond the down payment
Closing costs, inspections, appraisals, and moving expenses often surprise buyers.
4. Avoid major financial changes
New cars, job changes, or opening credit accounts can delay or derail approval.
Understanding Loan Options
5. Compare loan types—not just rates
Fixed vs. adjustable, FHA vs. conventional, and term length all impact monthly payments and long-term cost.
6. Ask about total loan cost, not just interest rate
Fees, points, and mortgage insurance can significantly change affordability.
7. Understand mortgage insurance options
PMI, MIP, and lender-paid options each have pros and cons depending on down payment and credit.
During the Process
8. Respond quickly to document requests
Delays often happen because paperwork isn’t submitted promptly.
9. Keep finances “steady” until closing
Don’t move large sums of money without checking with your lender first.
10. Review the Loan Estimate carefully
Encourage clients to ask questions about anything they don’t understand.
After Closing
11. Plan for homeownership costs
Maintenance, taxes, insurance, and utilities should be part of the budget.
12. Revisit the mortgage over time
Refinancing or recasting may make sense if rates drop or income changes.