|
|
BEFORE YOU OBTAIN A LOAN
UNDERSTAND THE PROCESS
Be sure to ask your Mortgage Expert for all the information they have on the loan(s) you are considering. To make the right choice, it is important that you understand index rates, margins, caps, pre-payment penalties, points, and other loan features and factors like interest only payments and negative amortization.
BUYER BEWARE - CAVEAT EMPTOR
Unfortunately, advertised rates & programs may not be what they seem.
Just because you have seen an advertisement in a newspaper, on television, or on the radio for a super-discounted mortgage with a phenomenally low interest rate or for "no fees", don't assume that what you read or hear is the entire picture.
Keep in mind that those ads are designed to make the mortgage as attractive as possible. They may play up low initial interest rates and monthly payments without emphasizing that those rates and payments could later increase substantially. A loan which claims "no fees" can often require a higher overall loan amount - which means during the life of the loan you will potentially pay tens of thousands of dollars more than you would have if you had obtained a loan where minimal fees were charged up front.
The old chestnut applies, "there's no free lunch". Maintain a healthy scepticism when you are promised something for nothing.
AN ADVERTISED RATE MAY NOT BE THE CORRECT RATE FOR YOU
A rate you read about in an advertisement or hear on the radio may not apply to your specific situation - for example, the quoted rate may apply to someone in a single family residence. There may be an additional cost to you if you live in a condo, if the loan is for a 2nd home, or investment property, or if your credit score is not within the parameters set by that lender for that program, etc.
Be sure to get all the facts, and be sure to work with a Mortgage Expert who helps to educate you regarding all of the issues, factors and costs involved in this financial process.
You can be sure that when you work with Sara, she will not only educate you regarding all of the issues involved, she will work to ensure that you obtain the best loan package for your needs. Your long term goals as well as immediate and future savings create a complete financial package tailored for you.
Call Sara today to discuss your specific situation. Your loan quote will always be in writing, so fewer questions will arise.
|
|
