Whether you are buying a new home or refinancing your current one, borrowers like you can help expedite the process by minding a few strategic details. Below Crest Savings Bank offers five tips on how you can make the process go quicker and more smoothly.
1. Apply Online
As internet accessibility has increased and improved throughout the world, more and more mortgage lenders are making the application process available through online means. While in-person applications with a lender are still an option whether you’re purchasing or refinancing your home, many people are turning to online options to apply for mortgages.
2. Have Your Financial Documents Ready
Among other loan criteria that must be met, to approve your loan, your lender will ask to verify your employment and your income. To do this, they will ask you to provide documentation, usually in the form of W2s, pay stubs, bank statements, and occasionally a copy of your tax returns. In order to keep your loan moving quickly through the process, have the necessary items on hand when you apply.
3. Know Your Credit
When you apply for your loan, one of the first things your lender will do is order a credit score report. Your credit report illustrates your credit performance, and it needs to be accurate so that you can apply for other loans – such as a mortgage. Everyone is entitled to receive a free copy of his or her credit report annually from each of the three credit reporting agencies, but you must go through the Federal Trade Commission’s website at www.annualcreditreport.com, or call 1-877-322-8228. Note that you may have to pay for the numerical credit score itself.
Keep balances low on credit cards and ‘revolving credit.’ Racking up big balances can hurt your scores, regardless of whether you pay your bills in full each month. You often can increase your scores by limiting your charges to 30 percent or less of a card’s limit.
4. Avoid making large purchases until after the mortgage process is complete
Once you’ve begun the mortgage process, you should avoid all major purchases until your loan is closed. For example, you may be tempted to purchase new furniture for your home while your loan is in process with your lender, avoid doing so until after your loan is funded as a
purchase that depletes a good portion of your reserves or that adds a new debt to your credit can affect whether you loan can close on time.
5. Work with an experienced lender
It has never been easier to find a mortgage lender, with endless options being made available to you just through a simple google search. As easy as it is to find a lender, finding the right lender with experience requires a little more discernment. As a customer, an experienced loan officer can offer you insight as to what the best mortgage for you will be; with their expertise, you can rest assure knowing that their suggestions are backed by years of knowledge acquired through assisting borrowers just like you.
At Crest Savings Bank, our purpose is to provide personalized services through quality staff, technology, and products to enhance our customers experience while reaching their financial goas. Our commitment is to our customers, employees, and the community in which we live…. “With us, it’s personal!” Contact us today and let us help make home happen for you www.crestsavings.bank
