Applying for a Loan

For many buyers, applying for the mortgage loan is one of the more stressful aspects of buying a home. The loan application need not be stressful. By following a few easy steps, you'll sail through the loan application process.  The National Association of Realtors® has published a helpful guide for comparing loan programs, click here for a PDF version of this pamphlet.

The right mortgage broker makes all the difference.  We recommend using Pete O'Dowd, owner of O'Dowd Mortgage.  He's been helping our family and our clients for over 30 years.  He can be reached at 602-248-4200.  And unlike some lenders, O'Dowd Mortgage won't be closing their doors in the near future. 

  1. Make a list of any questions you have about the loan program.
    Be sure you understand the advantages and disadvantages of the various mortgage programs for which you may qualify, including the advantages and disadvantages of Fixed Rate Mortgages versus Adjustable Rate Mortgages.

  2. Decide if you want to lock-in or float the loan's interest rate.
    Locking-in the rate means that the lender commits to the mortgage interest rate for the loan - typically at the time the loan application is submitted. By floating the rate, you can lock-in the interest rate anytime between the loan application day and closing. Buyers opt to "float the loan" when they believe interest rates will drop after their loan application date and prior to closing. The risk is that rather than dropping, interest rates may rise, increasing the mortgage payment.

  3. Decide if you want to pay additional points to lower your interest rate.
    Typically you can elect to pay additional points (each point is 1 percent of the mortgage loan payable in cash at closing) to lower the interest rate of your mortgage loan.

  4. Gather your paperwork.
    Click here to view a list of typical loan documentation.

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