Applying for a new home loan with help from Perrella Realty, LLC.

For a lot of people, applying for financing can be one of the more troublesome elements of purchasing a home, but it doesn't have to be. I'm pretty close to a lot of lenders in the Plantsville area, and they've helped me learn a few things that can make the process of applying for a loan pretty simple.

1 – Compile a list of questions about your loan program

Make sure to bring a list of questions if you find that you do not totally realize the advantages and disadvantages of the various loan programs. I or one of my lender contacts will be able to assist you in understanding the advantages and disadvantages of each program, because it's a challenge to understand the differences between both fixed and adjustable rate mortgages.

2 – Determine when you want to lock

When you lock in the rate, it designates that the mortgage lender keeps to the interest rates for the loan – normally at the time the loan application is sent in. By floating the rate, you can lock the rate anytime between the day you apply for the loan and closing. Buyers who choose to float presume the interest rates will dip in the near future. Click here to see the outlook for the next 90 days of interest rates.

3 – Determine if you want to pay additional points to lower your rate

Normally you can opt to pay additional points to lower the interest rate of your mortgage loan. Each point is 1 percent of the mortgage loan and is payable in cash at the time of closing. If you're not sure if buying points is right for you, click here to use our points calculator.

4 – Bring your paperwork

Getting a mortgage loan requires a lot of paperwork, so you should spend some time getting your documentation together. Click here for a list of general loan documentation.