Jim Brown Mortgage.com, International Mortgage Services, New Jersey Mortgage Loans & Refinances

Pre-qualification and pre-approval are not the same. For pre-qualification the loan officer only needs the minimal information. However, during the pre-approval process the loan officer does virtually all the work involved in getting a full approval. Therefore, when you are pre-approved, you are in a much better position to negotiate.

Why should I be pre-approved?

Pre-approval is the first step to home ownership. Without a pre-approval, many sellers will not accept an offer on their home. Also, realtors are reluctant to show homes unless you have been pre-approved. Moreover, in cases of multiple bids on a home, a pre-approval greatly improves your bargaining position.

What if I don't have enough money for a down payment?
Often the down payment required is less than you think. We offer a variety of programs that require a minimal down payment. There are also programs available that require no money down. An FHA loan, for example, typically requires a 2.25% down payment which is lower than most conventional loans. Your Select Loan Specialist can help you decide which loan program is best for you.

When should I start looking for a mortgage?

It is best to investigate mortgages before you even start looking for houses. Not only can a loan specialist give you a pre-approval, a loan specialist can help you determine how much you can afford to spend on a house. They can also help you determine what your monthly payments will be, to help you determine what fits into your budget. Your loan specialist from Select is with you every step of the way.

What are points?

Points are a percentage of the loan amount. One point equals one percent of the loan amount. For example, on a $100,000 loan one point equals $1,000. Paying points will reduce the interest rate on the loan, which in the long run will save you money.

If you have any other questions regarding mortgages that I may not have answered in the preceding paragraphs, just send me an e-mail and I will respond back as soon as possible.

Thank you,

Jim Brown