Do you wish to finance your home?

A lot of people think applying for a loan is one of the more exasperating elements of buying a home, but it doesn't have to be. Having connections to several mortgage lenders in Bakersfield has helped me learn some things that make the process of applying for a loan a breeze.

1 – Create a list of questions regarding your loan program

If you do not totally understand the advantages and disadvantages of all the different loan programs, be sure you have a list of questions. I or one of my lender contacts will help you understand the advantages and disadvantages of both programs, because it's hard to know the distinctions between both fixed and adjustable rate mortgages.

2 – Determine when you want to lock

Locking in an interest rate indicates that the lender guarantees the mortgage interest rates for the loan – most often at the time the loan application is submitted. By floating the rate, you can lock the rate at any time between the day you apply for the loan and issuance of closing documents. Those who decide to float think that the interest rates will fall in the near future. Click here to see the outlook for the next 90 days of interest rates.

3 – Decide if you want to pay additional points to decrease your interest rate

Usually you can elect to pay additional points to lower the rate of your mortgage loan. Every point is 1 percent of the loan and is payable in cash at the time of closing. Click here to use our points calculator. It will assist you in determining if purchasing points is right for you.

4 – Compile your paperwork

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