Considered to be both the transportation and communications center for the region, Ft. Wayne, IN has just over five hundred thousand residents. It is home to a minor league baseball team and employers like General Electric. With a great artistic and cultural scene and a fantastic school system, it is not hard to see why so many people call Ft. Wayne home.
If you are one of the people who consider Ft. Wayne, IN home and you are interested in a refinance loan, or you would like to call the area home with a new mortgage, there are several things you should consider.
No matter which type of loan you are applying for, your lender will need to see several pieces of documentation to verify that the bank will loan you the money you need on your home. Bring copies of each of the following with you to your first appointment.
When you have established that you have had a work history, that you are currently employed, and that you have enough money to pay for a new mortgage, the lender will want to run a credit check. Keep in mind that even if you have had past credit problems, you may still qualify for one type of mortgage loan or another, so do not be discouraged before you ever walk in the door.
Your lender should then discuss with you the types of refinance and mortgage loans that are available in Ft. Wayne, IN. Here is a list of just some of your options.
Traditional loans
Fixed rate: These kinds of loans come with only one interest rate. Over the course of your fifteen or thirty-year term, your payments will never change.
Adjustable rate: These kinds of loans have an interest rate that can change. When you talk with the lender about this type of loan, you will talk about adjustment intervals, which usually come in one, three, and five-year terms as well as caps that are set on the loan. Once your adjustment interval is up, the loan is free to change according to market rates at the time, your lender’s index, and the caps your lender has set on the loan. The benefit of this type of loan, though, is that the initial interest rate is much lower than a fixed rate loan, which means lower payments for the first few years. These loans are great if you do not intend to stay in your home for a long period of time.
Non-traditional loans
Interest only loans: These are a kind of fixed rate loan in which you pay only the interest, not the principal, for the first ten years in the life of the loan. These loans are great for individuals who expect a rising income in the next several years, or for those who want to take their typical principal payment and put it into a high return investment to help pay off the home sooner.
Balloon loans: These kinds of loans come with very low market interest rate. The biggest problem with these loans, though, is that they come to term just five years after you sign the papers, so unless you are expecting a large lump sum of cash, or you intend to sell the home, this kind of loan may not be ideal.
Options ARM: If you need options built into your payment system, this may be the loan for you. Choose from a minimum payment, an interest only payment, a fifteen-year amortized payment, or a thirty-year amortized payment each month.
If you are interested in a cash-out refinance, but you do not want to apply for a second mortgage, talk with your lender about a home equity loan.
No matter what type of loan you are looking for, we are here to help. Take a moment to fill out the form below, and a lender will contact you regarding your Ft. Wayne refinance, mortgage, or home equity needs.
