If you are in need of a loan to purchase a new house or already own a house in Des Moines, Washington and want to check out a refinance loan or home equity loan, then an experienced loan officer will be able to assist you. Your loan officer will be able to guide you through the entire loan process from beginning to end. During the loan process, you will be asked to provide both personal and financial information to help determine how much money you will be able to borrow. It is important to find someone you feel comfortable with and can trust with this information. The loan application and the necessary documentation will help decide what type of loan and interest rate will work best for you and your family.
Applying for a Loan
At the initial meeting with your loan officer, you will fill out the loan application. You will also need to provide information on your employment history, bank accounts, current housing costs, tax records, pay stubs, credit history, and other assets. Plan to spend at least an hour at this meeting. The application needs to be filled out accurately and completely so that there are no delays in the loan process. Because some of the information you need to provide has to be verified, please allow at least 3 to 4 weeks for the loan process to be completed. Keep in touch with your loan officer and be patient. Soon you will receive a phone call saying that your loan has been approved.
Mortgage Options
When purchasing a new home, you will have many mortgage types to choose from. The most common mortgage types are fixed rate, adjustable rate, balloon, and interest-only. A fixed rate loan works best for those who want the same payment every month. This loan type has the same interest rate for the duration of the loan. An adjustable rate loan will start out with a lower interest rate, but this can change at predetermined intervals. Common intervals are 1, 3, or 5 years. If the interest rate at these times is higher than your original rate, your mortgage payments will go up. Balloon loans have the same mortgage payment every month for the duration of the loan, but they have to be paid off at the end of 5 years. With interest-only loans, your mortgage payment goes towards the interest for the first 10 years. At that time, the principal is added in, and your mortgage payment will increase.
There are other mortgage packages on the market in Des Moines, Washington that may work for your current situation. Together, with a knowledgeable loan officer, the right package can be found for you.
Refinance and Home Equity Loans
An option available to existing homeowners is a refinance loan. When you refinance your home, you replace your existing mortgage. You will have many mortgage types to choose from. You will go through the same loan process as when you got your original mortgage. Obtaining a lower interest rate or different mortgage type should enable you to lower your mortgage payments. The money you save every month will be available to help pay off your credit card bills, unexpected medical expenses, or education costs.
Homeowners in Des Moines, Washington may also want to check out the possibility of a home equity loan. A home equity loan allows you to borrow money on the equity you have earned in your home. Equity is the difference between what you owe on your loan and how much your house is worth. This loan is available either as a line of credit or in a lump sum. You will pay interest on the amount of money you borrow. The term of this loan is usually 10 to 15 years. This money is yours to use in whatever way you want.
Contact one of our knowledgeable loan officers today to discuss mortgage, refinance, or home equity loans in Des Moines, Washington.
