RESIDENTIAL LOANS

1. Get Pre-Approved First

During the pre-approval process, we do virtually all the work associated with obtaining full-approval. Since there is no property yet identified to purchase, an appraisal and title search aren't conducted. When you're pre-approved, you have much more negotiating clout with the seller. Many lenders will not show you homes until you are pre-approved. They don't want to waste your, their, or the seller’s time. Buckeye Mortgage Company will help you become pre-approved at little or no cost.

2. Making Verbal (oral) Agreements

In a word, don’t. Reduce all aspects of your real estate purchase to writing. So-called oral agreements, whether proffered by the sellers or their agent, may not stand up if challenged.

3. Demand Full Disclosure

While rate is important, you have to consider the overall cost of your loan. Pay close attention to the APR, loan fees, discount and origination points. Some lenders may only quote discount points, when in fact there is an additional origination point (or fraction of a point). One lender will quote all points, while another lender may disclose an extra point or fraction thereof at a later date, which makes an unwelcome surprise. At Buckeye Mortgage Company we disclose all points, if any, and other costs up front.

4. Get a Written Good-Faith Estimate

Within 3 working days after receipt of your completed loan application, your lender is required to provide you with a written good-faith estimate (GFE) of closing costs. The GFE with the highest costs may not indicate that a particular lender is more expensive than another--in fact, they may be more diligent in itemizing all fees. The cost of the mortgage, however, shouldn't be your only criteria. You must also feel comfortable that the loan officer you are dealing with is committed to your best interests and will deliver what they promise. At Buckeye Mortgage Company we deliver.

5. Choose the Right Lender

Your lender is not a financial expert. Your lender may refer you to one of their friends in the loan business that may not have the best rates or fees. Although most lenders are professional and concerned about your best interests, you should do your own homework.

6. Get the Rate Lock in Writing

When a lender tells you they have locked your rate, get a written statement detailing the interest rate, the length of the rate lock, and other particulars about the program. At Buckeye Mortgage Company we’ll be happy to fax or e-mail a copy of your lock sheet.

7. Using a Dual Agent (an agent who represents the buyer and seller in the same transaction)

Buyers and sellers have opposing interests. Sellers want to receive the highest price; buyers want to pay the lowest. Dual agents obviously have a conflict of interest. Since the seller usually pays the commission, the dual agent has an incentive to negotiate harder for the seller than for the buyer. If you are a buyer, it may be preferable to have your own agent represent you. On the other hand, using a dual agent may result in your getting a price break (usually resulting from the dual agent lowering their commission).

8. Get a Professional Home Inspection

Unless you're buying a new home with warranties on most equipment, it is highly recommended that you get property, roof and termite inspections. Inspection reports are great negotiating tools when it comes to asking the seller to make repairs. If the seller agrees to make repairs, have your inspector verify the completed work prior to close of escrow.

9. Shop for Home Insurance Before You Are Ready to Close

Start shopping for insurance as soon as you have an accepted offer. Many buyers wait until the last minute to get insurance and find they have no time left to shop around.

10. Signing Documents Without Reading Them

As soon as possible, review the documents you'll be signing at closing-including a copy of all loan documents. This way, you can review them and get your questions answered in a timely manner. Do not expect to read all the documents during the closing. There is rarely enough time to do that.

APPLYING FOR A RESIDENTIAL MORTGAGE LOAN CAN BE A STRESSFUL PROCESS. LET AN EXPERIENCED MORTGAGE COMPANY HELP! GET ADVICE ABOUT LENDERS, RATE LOCKS, MORTGAGE INSURANCE & MORE! TOLL-FREE: (866) 700-4290

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