Are you going to finance a new home?

Applying for financing can be one of the most stressful elements of purchasing a home, but it doesn't have to be. I'm familiar with various mortgage lenders in the Muskogee area, and they've helped me learn some things that make the process of applying for a loan very manageable.

1 – Create a list of questions about your loan program

Make sure you bring a list of questions if you find that you do not thoroughly understand the ins and outs of the different loan programs. I or one of my lender contacts will be able to help you understand the advantages and disadvantages of both programs, because it is hard to know the characteristics of fixed and adjustable rate mortgages.

2 – Determine when you want to lock

By locking in the rate, a mortgage lender is holding to the mortgage interest rates for the loan – generally at the time the loan application is submitted. By floating the rate, you can lock the rate anytime between the day of your loan application and at the time of closing. Those who choose to float think that interest rates will plunge 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 lower your rate

If you choose to pay additional points to lower the rate of your loan, you'll pay for them in cash at closing. Every point is 1 percent of the loan. To determine if purchasing points is right for you, click here to use our points calculator.

4 – Gather your paperwork

Obtaining a mortgage loan requires a lot of paperwork, so you should spend some time getting all your documents together. Click here for a list of common loan documentation.