YOUR Mortgage- Take It Seriously!

I just want to touch briefly on a couple points that we have harped on before, but hold much importance. When you are dealing with your lender selection, your mortgage application, your mortgage selection , or your mortgage payment you should be very attentive! Make sure you are on top of things at all times. Many times, people don't realize the importance of these things and they pay for it later. Lets look at each aspect:

Lender Selection

• Choose a lender that comes highly recommended
• Meet your lender in person if at all possible. If they wont do this and go over all disclosures, you should keep looking.
• Ask to see testimonials or for references. These are nice to see, although I doubt they will provide anything that isn't positive. Take it for what it is worth and make your own judgment. The word on the street is the most valuable.
• Is your lender knowledgeable and do they have the experience to back it up?
• After meeting them in person, choose a lender you trust!

Mortgage Application:

• Make sure you provide all pertinent information up front. Don't try to hide any details because they will be uncovered and it could totally change your product, rate, or your approval!
• Make sure you wait until after your loan has closed to make any major purchases or job changes. Believe it or not we have had a handful of people spend their money needed or reserves or changed jobs right before closing and it greatly affected their loan! This is just not worth it. If you know a major change is going to take place, let your broker know up front. Why waste your time and theirs if it can be avoided! That new Big Screen or Car can wait a couple weeks!

Mortgage Selection

• Make sure you know your financial goals and make this known to your lender. Your lender can then select the product that best fits your needs. Maybe you know you are moving in exactly 5 years. If this is the case, you may want to select a product that gives you a lower payment for this time period. If you know this is your final house, you would more than likely choose a more secure product! Everyone's situation is different and the different mortgage products all have a place.
• Ask if you have a pre-payment penalty.
• Any other questions, just ask. Who cares if you think it is a stupid question! Better to ask now instead of regret it later!

Mortgage Payment

• After your loan is closed you have your wonderful monthly mortgage payments. Don't underestimate the importance of these. I have dealt with 2 cases recently where clients could not obtain the financing they greatly needed to better their financial situation due to late payments! This is the #1 thing that will kill your credit score. What do you think lenders will scrutinize most? That's right, your mortgage history. Makes sense doesn't it? They are looking to lend you money and they can easily see your track record for mortgage repayment. You will get severely hit on your interest rate or you will lose the ability to borrow all together!
• This is your single most important payment so treat it that way. If your situation changes and you can't afford it, don't try to figure it out. Put you home for sale immediately. If you get that job or raise you need then great, take your home off the market. Don't be stubborn and ruin you financial history if it can be avoided.

From this you can see how critical this all can be. If you skip the first few steps, you could find yourself strapped with a uncomfortable mortgage situation and it could cost you. Just do your homework, ask the right questions and everything will be fine!

Brought to you by Professional Mortgage Group Inc.

"Your Columbia, Missouri Mortgage Broker"