Dont Be Afraid Of Getting A Mortgage Online

Dont Be Afraid Of Getting A Mortgage Online



No matter what your credit history is,​ or​ what your circumstances are,​ the​ Internet has made the​ home loan process much easier. This article will outline a​ five-point plan to​ assist you​ in​ your pursuit of​ financing online:

Step 1: Don't be afraid to​ go shopping.

Discussing personal mistakes in​ life can paralyze us with fear,​ namely,​ getting into the​ "bad credit" issues. But getting into this "stuff' is​ completely unnecessary in​ the​ preliminary phase of​ shopping for a​ loan,​ beyond the​ basic information provided in​ an​ online short-form.

In other words,​ you​ don't really have to​ talk about the​ nitty-gritty details,​ until after a​ loan offer has been presented to​ you. So don't fret about it​ at​ first.

Because we're on​ the​ subject,​ if​ you​ are a​ consumer with credit history issues,​ let me briefly take this opportunity to​ state the​ obvious:

1. You're no different than anyone else. We all live imperfect lives.

2. Credit problems do not make you​ a​ bad person,​ and are really just reference points.

3. There are loan products designed for you.

4. There are lending institutions that are interested in​ earning your business.

5. There is​ nothing wrong with you,​ or​ your credit,​ or​ your situation. you​ can find a​ loan.

First,​ get into the​ right frame of​ mind. Don't be afraid to​ ask questions,​ and don't be intimidated by your credit history. Be honest. Give truthful information. But don't feel shame or​ regret for your past or​ present personal circumstance. They make you​ who you​ are,​ and that earns you​ respect.

Step 2: What's the​ going rate?

Information is​ free,​ so why not be informed? Many resources are available on​ the​ Internet to​ get current interest rates,​ and it's easy to​ compare them.

So to​ start with,​ take a​ look at​ two pieces of​ information:

1. Current Interest Rate,​ 30-year fixed

2. 6-month trend graph

A little exercise: Do you​ see the​ current rate? What about the​ 6-month graph? Are rates going up,​ down,​ or​ staying about the​ same? is​ the​ current rate higher than it​ was 6 months ago? Lower then 6 months ago?

Now don't feel the​ need to​ analyze this information too much. For now,​ just look at​ it,​ and perhaps,​ check it​ several times a​ week to​ stay informed. if​ you​ do this,​ you're already 10 steps ahead of​ the​ game!

You are now an​ informed shopper. When an​ offer is​ presented to​ you​ in​ the​ near future,​ you'll be able to​ ascertain how good an​ offer it​ actually is​ by knowing how it​ compares to​ the​ "going rate". (Hint: Don't forget to​ check terms and fees,​ also known as​ "points",​ and conditions relating to​ your loan offer. Often times you​ will see higher points or​ less favorable terms,​ in​ exchange for a​ lower rate.)

You will be able to​ assess if​ you​ think rates are declining or​ on​ the​ rise,​ which may help you​ to​ decide if​ the​ present is​ the​ right time to​ make a​ purchase.
Step 3: Obtain several offers.

When you​ buy a​ car,​ do you​ seek out the​ best deal? When you​ go grocery shopping,​ do you​ consider which store offers the​ best prices? Shopping for a​ mortgage should not be seen any differently,​ and the​ best way to​ do this is​ to​ obtain several preliminary loan offers online.

1. Preliminary loan offers are simple,​ painless,​ and easy to​ get.

2. They contain the​ terms,​ rates,​ and pertinent information you​ need to​ assess the​ lenders.

3. They will take all the​ guesswork out of​ where you​ stand.

Get three or​ four offers and compare them. How do they compare to​ each other,​ and to​ the​ going interest rates mentioned in​ Step 2?

Many companies conduct searches for thousands of​ lenders,​ a​ lot of​ them in​ your local area,​ and they provide you​ with four loan offers almost instantly. Take advantage of​ this! These are no obligation services,​ and for the​ most part,​ the​ online application forms are simple. They take only a​ few minutes to​ complete.

You don't need to​ get into your credit history at​ this point. Completing the​ simple form is​ all it​ takes. if​ you​ qualify,​ and a​ lender is​ located that wants to​ do business with you,​ then you'll go to​ the​ next step,​ which is​ to​ discuss this possible opportunity over the​ phone.

Step 4: Remember this.

1. Lenders should never ask you​ for personal or​ private information during this preliminary phase. of​ course they'll need to​ know some basic information about you​ and your situation,​ but never give out information you​ feel uncomfortable disclosing (such as​ your social security number),​ and look for a​ "privacy policy" on​ their website.

2. Remember that these are "preliminary" loan offers,​ which means no immediate commitment on​ your part. you​ complete a​ simple,​ on-line short-form,​ and then you​ get several offers in​ return. the​ lenders that made the​ offers may wish to​ talk with you​ over the​ phone,​ but that's where the​ preliminary process ends. the​ ball is​ in​ your court to​ choose a​ product that meets your needs,​ or​ to​ keep shopping.

3. These services are offered for free and you​ should not be asked for any service charges any time.

Step 5: Understanding your Options

If you've followed this simple plan,​ you​ will discover that there are consumer loan products tailor made to​ meet everyone's needs. Remember to​ examine the​ terms and rates,​ obtain several loan offers,​ and then talk to​ the​ lenders over the​ phone. Find out who they are,​ and whether or​ not you'd like to​ do business with them. Throughout this process,​ stay informed by checking interest rates,​ and settle for nothing less than what is​ attainable.




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