Marianne L. Lilly - RE/MAX Harbor Realty can assist you in applying for a loan in Punta Gorda.

When buying a home, applying for a loan is very exasperating for most people, but it doesn't have to be. Having connections with many mortgage lenders in Punta Gorda has helped me learn a few things that make the process of applying for a loan effortless.

1 – Assemble a list of questions regarding your loan program

If you don't entirely realize 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 be able to help you understand the advantages and disadvantages of each program, because it can be a challenge to know the differences between both fixed and adjustable rate mortgages.

2 – Decide when to lock

Locking in the interest rate means that your lender guarantees the mortgage interest rates for the loan – most often at the time the loan application is received. By floating the rate, you can lock the rate at any time between the day of your loan application and the issuing of closing documents. Those who prefer to float believe the interest rates will drop 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 decide to pay additional points to lower the interest rate of your mortgage loan. Each point is 1 percent of the mortgage loan and is payable in cash at closing. To decide if you should purchase points, click here to use our points calculator.

4 – Compile your paperwork

Obtaining a mortgage loan requires lots of paperwork, so you should spend some time getting all your documentation together. Click here for a list of typical loan documentation.