4 Mistakes to Avoid During a Mortgage Application
Purchasing a house is one of the biggest investments you will ever make. You may need to take a loan to cater for part of the cost of the house, as it allows you to pay over a long period. However, there are little mistakes that may cause your mortgage application to be declined, or fail to get enough cash for the type of home you need. Here are some of the mistakes you should avoid:
Accepting the first offer you get
Mortgage lenders differ in their interest rates and loan terms. Shop around and compare until you get the best mortgage rate in Utah. You can also hire a mortgage consultant to get you the best rates in the market.
Not getting pre-approved
It is important to know if you qualify for a mortgage before looking for a home. A pre-approval goes beyond a pre-qualification for the loan as the bank checks your ability to repay the loan. Unfortunately, most people overlook a pre-approval and eventually fail to get the loan.
Not reading the fine print
Most people are lured by advertisements about the best rates in town and fail to read the terms and conditions found in the fine print. These conditions either throw you out or change the loan repayment conditions advertised. Take your time and read everything. Seek assistance when you do not understand something.
There is no coating the truth when it comes to financial matters. The lender will go through your financial history and uncover anything that is not correct. When applying for the loan, avoid signing to a blank or incomplete application and do not falsify information. Falsified information will lead to a disqualification
Take your time when choosing a mortgage lender and making applications. Given the amounts involved, you should be careful with terms and interest rates. Moreover, provide all information such that it is easy for the lender to determine if you are creditworthy.