Loan Central

You’ve just made an offer on your very first house. Knowing what to expect when you are looking for a home mortgage, especially when you are a first-time homebuyer, will make it easier for you to get through the process. You should also learn about your legal rights to fair home mortgage lending and what you have a right to expect in fair treatment. For instance, it is unlawful for a lender to decide whether you qualify for a loan, or to offer less favorable terms, for reasons such as your race, national origin or sex and other prohibited factors.

The home mortgage application
The home mortgage application process requires considerable paperwork. There is the application form, which asks for detailed information about you, your employment record, the house you are considering and a day-by-day account of your life. The home mortgage lender will need documentation pertaining to your personal finances, meaning earnings, monthly expenses and debts to help gauge your willingness and ability to repay the mortgage. Lenders also will examine your file at the credit bureau to learn if you pay your bills on time. A lender may reject your application if the report shows that you have a poor credit history.

The home mortgage application process
When you are applying for a home mortgage, you may want to make sure your credit file as accurate as possible before you apply for your mortgage. Home mortgage lenders are fussy and efficient. You have a right to know what information is contained in your credit report and to have someone from the credit bureau help you understand what the report says. The names of credit bureaus can be found in the phone book. Calculate the money you have available for a monthly payment. To figure the mortgage payment, the lender will ask how much you want to borrow