Are there any tips regarding choosing a mortgage in the current economic environment?
A. Here at Coldwell Banker Southern Homes, we recommend that customers only take on a mortgage that they can reasonably afford. Today, some sellers will not show their house to someone who is not pre-approved for a mortgage. So it benefits prospective home buyers to run their credit check and work with a lender to see if they qualify for a mortgage – and at what level. This helps people establish their affordable price range for a home. Here are some tips we share with consumers: • Do your research. Ask for a Good Faith Estimate from the lender that documents up-front costs, including lender fees, closing costs, and monthly payments. • If you are considering an ARM, factor in any future changes to the rate/payment. • Only deal with a reputable lender with whom you feel comfortable. • Take time to understand your payment schedule. Buying a home is the biggest financial investment you can make. Do not leave the table until you are clear on the terms. • Get a strong pre-approval from your
