Financing a home in Bonner County is probably the same exhausting process as applying for a home loan anywhere. Still, there must be more to it than sticking your hand out, asking for $200,000 and trying not to laugh, right?
The better you understand financing and how it works, the more prepared you'll be when you're actually squaring off with a loan officer. If this is the first time you've considered buying a home, Congratulations! I hope we can bring some clarity to the often intimidating process of home ownership. Check out Financing for Noobs, we offer some pointers for new buyers and hopefully we can all stop paying rent. Like many things, being prepared can mean the difference between success and failure. We're going to discuss some common problems people encounter when applying for a loan and go over some ideas that will help avoid them. This will give you an advantage whether you're financing a home in Bonner County, getting an auto loan, or borrowing money to consolidate your debts. Are you ready? Alright, let's begin.
Don't let hidden costs sneak up on you. Ask your lender for a written estimate.
Time to lock it down. With interest rates changing daily, locking down your rate can prove a big money saver. A rate lock - in writing - guarantees you a certain rate and terms for a specified period of time. Lock in all the costs you can, including interest rates and points. And try to set the lock at the time of application, not at the time of approval.