Thinking about financing a new home? Shapar Homes can help.

When purchasing a home, applying for the loan is very demanding for most people, but it doesn't have to be. I'm close with several mortgage lenders in the San Diego area, and they've helped me learn a few things that make the loan application process a snap.

1 – Organize a list of questions regarding your loan program

Make sure you bring a list of questions with you if you don't fully comprehend the pros and cons of the various programs. I or one of my trusted lenders will assist you in understanding the advantages and disadvantages of each one, because it can be a challenge to understand the differences between both fixed and adjustable rate mortgages.

2 – Determine when to lock

Locking in signifies that a mortgage lender keeps to the interest rates for the loan – often at the time the loan application is presented. By floating the rate, you can lock the rate anytime between application and closing. Those who elect to float think interest rates will dip in the near future. Click here to see the outlook for the next 90 days of interest rates.

3 – Decide if you want to pay additional points to reduce your rate

Usually you can choose to pay additional points to lower the interest rate of your mortgage loan. Every point is 1 percent of the loan and is payable in cash at the time of closing. Click here to use our points calculator. It will help you determine if buying points is the best option for you.

4 – Bring your paperwork

Getting a loan requires a lot of paperwork, so you should take some time to get your documentation together. Click here to get a list of typical loan documentation.