Hot Tips in Applying for a Home Loan
Investing in real property is not as easy as purchasing a piece of
clothing; it requires thorough planning, careful financial assessment,
and determination of long term and short term goals especially for
If having a house falls in your short term goals list, make a way to pay it
in cash so you won't be burdened so much about the monthly
amortization and the loan interest. If you can't pay in cash, you might as
well proceed to look for a reliable mortgage broker in Baldivis or
Rockingham to help you facilitate a home loan application.
Below are some of the helpful tips you should consider in your
1. FIND AN ESTABLISHED CREDIT INSTITUTION. Look at the
list of credit firms in your area and choose the firm that has
stayed in the market for at least 10 years or more. Review its
records in terms of home loans processing and payment
collection. Compare the interest rates of one bank to another
and weigh out which one has the lowest rate.
2. HAVE A PLAN. It is suggested that you submit your home loan
application much earlier than other loan applications. If you
submit a number of applications before your home loan
application, it may lead to a denial of the latter loan.
Remember, every bank or a financial institution has a resident
underwriter who is responsible in inspecting and reviewing
loan application documents. If the underwriter notices that you
filed two or more loans, the bank might think you are
incapable to meet your obligations, thus, rejects your
3. THINK SMALL. We always hear “Think BIG!” That’s right, but
to think small is better--in terms of loans. As much as possible,
especially if you haven’t applied for any loan before, settle for
a home loan plan in which you'll be paying relatively lower
In that way, you won't experience "loan payment shock," an
incident that often happens among new loan applicants.
4. KEEP AN EXCELLENT CREDIT RECORD. This is only a
matter of being prompt in paying your financial obligations as
they due. For some, it will require a year or over to achieve a
good credit rating. The point is, each time you incur a delay in
paying, the same is reflected in your record, thus, it’s counted
against you. In the same manner, an account that remains idle
for so long has no good effect, even if it has not incurred any
delinquency at all. An excellent credit record, therefore,
means maintaining an account that has been used for a number
of times and has not incurred a single delinquency.
5. GET A PRE-APPROVAL. As you submit your loan application
papers, inquire how long can you pre-qualify and eventually
get a pre-approval. Upon submission of your papers, the bank
will check and verify your credit records. Out if it, two things
may happen--either to give you a pre-approval if warranted or
deny your application for some reasons. Once you pre-qualify,
your home loan is good to go; that means, you will likely
secure the stamp of approval.
To know more about cheap home loan applications and real property
mortgages, try to ask a number of local mortgage brokers or read
related writings online. If you’re in Rockingham, Kwinana, Baldivis or
Cockburn, you may contact your mortgage brokers or home loan
professionals in those areas.