Helpful Tips to People Shopping For Santa Cruz Mortgages and Loans

Are you shopping for a mortgage or you want to refinance an existing loan? If yes, you have a good reason for visiting our website. Here we research and outline key facts about Santa Cruz mortgages and loans.

Changes in the Mortgage Rates

Mortgage rates keep on changing. Consequently, as soon as you think you are ready for the loan, do some research on the rates offered by the lenders and get information on how the rates may be adjusted in future?

Fees Charged

The fees charged by lenders keep on varying. In fact every lender structures his fees differently thus, it may be prudent to compare the fees charged by each lender before you apply for the mortgage. Inquire about the fees, closing costs and other costs you may be required to foot.

Does Your Lender Sell The Loan To Other Banks?

In Santa Cruz, there are many lenders who give out loans to borrowers and sell it to other banks. This may happen when lenders want to free their liabilities so that they can give out more loans. Even though such a move may not affect your mortgage, it is important that you scrutinize the mortgage statement and ensure that you don’t make payment to the wrong bank.

Your Credit Score

Ideally, most lenders will pull your credit scores from any of the following bureaus: Transunion, Experian and Equifax. This will help them determine your credit worthy. The middle score of the three will be considered in qualifying you for the loan. The credit score pulled from a website will therefore be different from what the lenders use because of the differences in the reporting system.

Down Payment

Different Santa Cruz mortgages and loans institutions may demand varying amount of down payment from anyone looking for a mortgage loan. FHA mortgage loan, the VA and USDA loans do not require down payment. If you qualify for VA, loans, you may not be asked to make the down payment. Similarly, if you qualify for the USDA loan, you will be saved from down payments.

Refinance the Home Loan

Find out if your bank will allow you to refinance the loan or not. If they can allow you to refinance it any time, it may allow you to lower your monthly payments or change the type of loan when you think it is appropriate to do so.