Guide to Refinance, Mortgage,
& Home Equity Loans in
Parkersburg, West Virginia (WV)

The Loan Officer

If you are ready to become a homeowner in Parkersburg, West Virginia, you will need to qualify for a mortgage. The loan process will go smoothly if the first step you take is to find a good loan officer. A loan officer should make you feel comfortable and should be someone you trust with the personal and financial documents you are required to provide. They should be available when you have questions. They should be able to guide you through the loan process from start to finish.

The Loan Process

The loan process begins with meeting with your loan officer and filling out a loan application. A Verification of Employment form will be sent to your employer. If you have not worked for this employer for two years, then your previous employer will receive a form also. A Verification of Deposit will be sent to your banks. You will need to provide your pay stubs, bank statements, credit history, current housing costs, and tax records along with the loan application. This information will aid the loan officer in determining how much money you will be able to borrow.

Available Loan Types

There are many mortgage types on the market these days. With the help of your loan officer, you will be able to choose the one that is right for you and your family. Common mortgage types include fixed rate, adjustable rate, interest-only, and balloon.

● Fixed rate mortgages have an interest rate that never changes. You will have the same mortgage payment each month for the duration of the loan, which is usually 15 or 30 years.

● Adjustable rate mortgages have a low interest rate in the beginning but the rate can change at specified intervals of either 1, 3, or 5 years. Your mortgage payment will rise or fall depending on the interest rate at the time.

● Interest-only mortgages allow you to pay only the interest on the loan for the first 10 years. At that point the principal is added and your mortgage payment will rise.

● Balloon mortgages are loans with a low interest rate and short duration of 5 years. This mortgage has to be paid in full at that time. Your mortgage payment will remain the same each month.

Existing Homeowner’s Options

Existing homeowners in Parkersburg, West Virginia can benefit from obtaining either a refinance loan or a home equity loan.

Refinance Loans: A refinance loan will allow you to change the terms of your existing mortgage by replacing it with a new mortgage. You will benefit from refinancing especially if the current interest rate is lower than the rate on your existing mortgage. With this lower interest rate you will make lower mortgage payments. Since you are getting a new mortgage, you will have to fill out a loan application and provide the necessary documentation as mentioned above.

Home Equity Loans: One of the advantages to living in your home for a period of time is that you earn equity in your home. With a home equity loan, you can borrow money in the form of a lump sum payment or a line of credit. Home equity loans usually have a term of 10 to 15 years. You will only pay interest on the amount you borrow.

With both a refinance loan and a home equity loan, you will have money available to help with your current financial situation. Use the money for unexpected medical bills, credit card bills, remodeling, college tuition, or even an upcoming wedding.

Closing

Closing is the final step in the loan process. You will be asked to bring a certified check to pay for the closing costs and your down payment. You will read and sign numerous documents. Make sure you double check these documents and ask any questions you may have. Allow at least one hour for this meeting.

Contact one of our experienced loan officers today to discuss your lending needs in Parkersburg, West Virginia.