Choosing a lender in Bennington is like choosing a Realtor®. You want to find someone who is experienced yet is also a good fit with your personality. Each lender will have similar programs and interest rates but can vary widely on fees and requirements.
You are shopping for a mortgage, so don’t feel bad about comparison shopping, it’s how you’re going to get the best deal. This should be done before you ever begin looking at homes.
Be sure you find a loan that fits your needs by asking these comprehensive questions.
- What mortgage loans do you offer?
- Which type of mortgage plan do you think would be best for us? Why?
- Are your rates, terms, fees, and closing costs negotiable, and what are the costs?
- Will I have to buy private mortgage insurance? If so, how much will it cost and how long will it be required? (Private mortgage insurance is usually required if you make less than a 20% down payment, but most lenders will let you discontinue the policy when you’ve acquired a certain amount of equity by paying down the loan.)
- Who will service the loan? Your bank or another company?
- What escrow requirements do you have?
- How long is your loan lock-in period (the time that the quoted interest rate will be honored)? Will I be able to obtain a lower rate if the interest rate drops during this period?
- How long will the loan approval process take?
- How long will it take to close the loan?
- Are there any charges or penalties for prepaying the loan?
Information A Lender May Need From You
- Two forms of identification
- Copies of pay stubs for every person signing the loan, covering the last 30 days
- Copies of two to four months of bank or credit union statements for both checking and savings accounts
- Copies of your most recent statements from 401(k), other retirement accounts, investments, etc.
- Documentation verifying additional income, such as child support or a pension
- Account numbers of all your credit cards and the amounts of outstanding balances
- Lender, loan number, and amount owed on other installment loans, such as student loans and car loans
- Addresses where you have lived for the last five to seven years, with names of landlords if applicable
Slight variations in interest rates, loan amounts, and terms can significantly affect your monthly payment. For help in determining how much your monthly payment will be for various loan amounts, use Fannie Mae’s online mortgage calculators at www.knowyouroptions.com or download their app. Give the experienced staff at Maple Leaf Realty a call at (802) 447-3210 to get a list of local lenders in the Bennington area.
