TMR Realty, Inc. can assist you in financing a new home in Salisbury.

Applying for mortgage financing is one of the most distressing elements of purchasing a home, but it doesn't have to be. I have a close business relationship with several mortgage lenders in Salisbury, and they've helped me realize some things that can make the process of applying for a loan uncomplicated.

1 – Compose a list of questions about your loan program

If you do not entirely understand the pros and cons of all the different programs, make sure you bring a list of questions with you. I or one of my trusted lenders will assist you with understanding the advantages and disadvantages of each program, because it's a challenge to know the differences between both fixed and adjustable rate mortgages.

2 – Decide when you want to lock

By locking in an interest rate, the lender is holding to the interest rates for the loan – ordinarily at the time the loan application is received. By floating the rate, you can lock the rate anytime between the day you apply for your loan and issuance of closing documents. Buyers 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 interest rate

Typically you can opt to pay additional points to lower the interest rate of your loan. Every point is 1 percent of the mortgage loan and is payable in cash at closing. If you're undecided on whether or not purchasing points is right for you, click here to use our points calculator.

4 – Gather your paperwork

Obtaining a loan requires lots of paperwork, so you should take some time to get your documentation together. Click here to get a list of common loan documentation.