Now that you have finally decided that it is the best time to finally start the process of owning your dream home, allow us to walk you through the mortgage loan process. It is best that you know what to expect and how to prepare for it so that the mortgage process goes seamlessly. Prequalification is key You need to know how much you can afford to pay before you apply for a mortgage. How much debt do you still owe your creditors? Will your assets and income allow you to set aside an amount for loan repayment? Basic financial information like these, and your credit report as well, will help you estimate how much money you can afford for your monthly payment. What kind of loan is available for you? Your financial situation is different from others. You may qualify for multiple kinds of mortgage but one is better than the other. If your credit rating is good, then you might want to consider getting a conventional loan mortgage. These are loans that are guaranteed by a private company and sponsored by Fannie Mae and Freddie Mac. If you are a veteran or an eligible spouse of a veteran, then a Veterans Affairs of VA loan might be your best option. VA loans offer one of the lowest interest rates and can be relatively easier to apply for. For low-income borrowers, applying for an FHA loan is better as it requires lower down payments and low credit scores as well. Steps to closing the deal To start the application, you need to submit your application. Mortgage loan companies would require you to prepare your financial documents like your pay stubs for the last month, proof of income, Social Security number, bank statements, and details of your current debts. Once you have prepared your documents, ask us about the one-time close deals to help you with the process.