Owing a home is an exciting opportunity. It offers independence and allows a person to truly customize the space he or she is living in. But while the thought of a new home is exciting, the process of obtaining a mortgage can be daunting. Don’t be discouraged. Here are a couple of tips to getting through the application process for a first home mortgage in Portage MI.
Gather Up the Paperwork
Applying for a mortgage is unlike any other loan experience. There is a lot of paperwork that needs to be turned in. Some will be necessary during the approval process. Some will need to be turned in right before the loan goes through. Either way, it makes sense to start gathering up the paperwork. Most loan companies will provide clients with a checklist to help them obtain everything they need. Put everything into one folder. This will make it easier if documents need to be presented multiple times or if a person is seeking loan approval from more than one company.
Look for First Time Buyer Benefits
A loan officer will often make note of any programs or benefits that can be used towards a First Home Mortgage in Portage MI. Take advantage of these benefits. In the future, it might not be as easy to get into a second home. Programs vary from state to state and lender to lender. However, many offer reduced down payment, reduced interest rates, and even reduced fees, making it easier to close on the home. Take the time to find out what will be required in order to be approved for this type of home loan.
Keep an Eye on the Monthly Payment
When a person first hears how much he or she can afford when a loan is approved, it can make it seem like the sky is the limit. For many borrowers, if they are approved for a certain amount, they might as well buy a home that is right up at the limit they can afford. This is a common mistake for first time home buyers. In addition to looking at the overall cost of a home and a loan, be sure to look at how the monthly payment will actually fit into the budget.
If you’re a first time home buyer ready to make a purchase, Contact Kalamazoo Mortgage.