shopping for mortgage

Author Message
Icon Mini Profile blak6764




Joined: 04 Feb 2008

Posts: 10

5.53 Dollars($)
PostPosted: Mon Dec 08, 2008 10:16 pm    Post subject: shopping for mortgage

Hi Everybody
I am going to apply for a mortgage preapproval.
When is the time to shop around for a mortgage? Now while getting preapproved or at some point later?
Also how much time window will i have?
Happy Holidays Alex
Icon Mini Profile jameshogg
jameshogg



Joined: 20 Dec 2005

Posts: 4189
Location: nevada
492.91 Dollars($)
PostPosted: Tue Dec 09, 2008 1:17 am    Post subject:

Hi blak,

Yes, you should start mortgage shopping before getting pre-approved for the loan. Pre-approval basically means going through the mortgage application process. The lender will check your loan prospects based on your credit check, will look at your pay stubs and bank statements, and will then determine how much money to lend you. I don't think there is a time window as such. But once you get the loan, you will go for the closing within 45 days.

Check out the following link to know more about mortgage basics:
http://www.mortgagefit.com/mortgage.html

Thanks
Icon Mini Profile blak6764




Joined: 04 Feb 2008

Posts: 10

5.53 Dollars($)
PostPosted: Tue Dec 09, 2008 11:00 pm    Post subject: shopping for mortgage

Is anything wrong with shopping around both before pre-approval and later
after finding house or after getting purchase contract?
Thanks alex
Icon Mini Profile jameshogg
jameshogg



Joined: 20 Dec 2005

Posts: 4189
Location: nevada
492.91 Dollars($)
PostPosted: Wed Dec 10, 2008 11:43 pm    Post subject:

Hi blak,

Mortgage shopping after pre-approval won't help you much. If you do some mortgage shopping before pre-approval, you will come to know about the rates and terms of mortgage prevailing in the market. You will also have the option of selecting the mortgage which you can afford to pay. If you have a pre-approval letter from the lender, it will be easier for you to search for the house you would like to buy.

Thanks
Icon Mini Profile banker0679

Community Experts
Community Experts


Joined: 15 Nov 2007

Posts: 332
Location: Charlotte, North Carolina
1.41 Dollars($)
PostPosted: Thu Dec 11, 2008 12:33 pm    Post subject:

Good Afternoon Blak

Shopping prematurely can hurt you more than help you. It's important to shop rates when you're in the position to lock in the rate. If you shopped today, the rates will be lower than last week. Some people start making the decision ahead of time, and this will put you in a bad decision. Most lenders require that you're under contract or have picked out a home before locking in the rate.

A lot of lenders may not even give you a 'real rate' because they know you're shopping around, and not able to lock yet. You should get approved with the lenders you plan to work with. I would ask what the current rates are for your scenario, then compare it with another lender. THEN I would wait till I'm in the position to lock in a rate. No point in teasing yourself about the rates if you can lock it in.

thanks
Robert

_________________
Mortgage Refinance
Loan Modification
North Carolina Mortgage Rates
Quick Reply
Your Name
Subject
Message body

All times are GMT - 7 Hours
Page 1 of 1

 
Highlights
Helpful References
Mortgage Guide
Mortgage Terms
Mortgage News
Book Center
Shop and Compare lenders
30 Yr. Fixed Vs. 5/1 ARM


Calculators     [View all]
Are you eligible for loan?
How much you can afford?
Calculate monthly payment
Calculate APR


Financial Tools
Credit Repair Tool New
Mortgage Planner
Simple Budgeting Tool


Our Community
MortgageFit Blog
Community Professionals
Community Rewards
Introduce yourself
Website tools


Community Rewards
Five simple ways to earn money with the Mortgage Community.

MortgageFit Live Help

Explore the lender near you

Google Map Image

MF Talk



DebtConsolidationCare    Insurance community: We Make You Insurance Smart    CreditMagic: Helping you build up credit


We have chosen to apply the Creative Commons Attribution License to all works we publish. This work is licensed under cc by 2.0