Mortgage Advice for Residential Real Estate

When it comes to owning property many people around the world will tell you that this is a lifelong dream.

While once an opportunity that seemed to be reserved for either

the wealthiest or the most miserly among the general population home ownership is now something

that is accessible to a larger segment of the population than ever before.

This is good news for many but for some can lead to confusing encounters with

mortgage brokers and serious sharks along the way.

The best advice that anyone can give someone attempting to embrace

the dream of real estate ownership is to deal with a reputable company when it comes to obtaining a mortgage.

Even when dealing with reputable lending companies you must watch out for those who do not have your best interest at heart.

If you would like some very practical advice when it comes to getting a mortgage, then you are at the right place.

First of all, avoid lenders who are encouraging you to take a loan for more money than you are comfortable repaying.

Foreclosures are at a record high when it comes to the mortgage industry at the moment

because of predatory lending practices on behalf of some mortgage brokers.

These practices include convincing people to borrow more money

then they could realistically hope to pay over time and have any quality of life as well as convincing

homebuyers to take out adjustable rate mortgages in the beginning to procure lower rates.

Shop around before you decide to buy when it comes to mortgages.

This doesn’t mean apply for mortgages all over town but do the research and

compare rates before applying with any one company.

Talk to several different brokers and find out what they have to offer you

that the other company down the road cannot or will not offer.

Keep in mind that mortgage companies will offer everything under the sun for free

toasters to free vacations to get you to go with their company.

The proof is in the terms, however. It is simply not worth that free toaster

if you are going to end up paying a 6.9% interest rate instead of a 5.9% rate.

You will have paid for that toaster many times over in the process of paying the mortgage.

Even after you’ve applied for a mortgage, if the deal seems to be going south check out your other options.

There are all kinds of problems that crop up along the way.

You are not marrying the mortgage broker.

Nine times out of ten you aren’t even making any sort of commitment at all to your mortgage broker.

You will however be living in the house you select.

If there is a problem with the mortgage company for the specific home

you want do not hesitate to change to get the home

you desire for your family rather than allowing the mortgage company to dictate what kind of home you can buy.

I mention this because we had a very similar problem when we purchased our turn-of-the-century home.

The mortgage company didn’t think the home was worth the risk because of its age.

We saw the beauty and the potential in our home which is coming along quite nicely and

managed to be approved and financed in short order with another mortgage company.

If this was the case in our situation, chances are that it will work for others as well.

In all honesty, it is nearly impossible to buy a home in this day and age without taking out a mortgage.

It is best however if you see the process as a learning experience rather than an abject lesson in intimidation.

This is your home and the money will be spent to purchase the home.

You are asking them for a loan but quite frankly, they need your business.

Do not hesitate to shop around for the best deal with a mortgage just as you did when finding your home.

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