Thinking of financing your new home in Needham? Louis Wolfson & Co. can help.

A lot of buyers believe applying for financing is one of the most stressful parts of buying a home, but it doesn't have to be. Being connected to many lenders in Needham has helped me learn some things that make the loan application process a snap.

1 – Compile a list of questions about your loan program

If you find that you don't fully understand the advantages and disadvantages of all the various loan programs, make sure to have a list of questions with you. It's a challenge to know the distinctions between both fixed and adjustable rate mortgages. I or one of my lenders can assist you in understanding the advantages and disadvantages of each program.

2 – Decide when you want to lock

When you lock in a rate, it designates that the lender keeps to the mortgage interest rates for the loan – commonly at the time the loan application is submitted. By floating the rate, you can lock the rate at any time between the day you apply for the loan and closing. Buyers who choose to float believe interest rates will drop in the near future. Click here to see the outlook for the next 90 days of interest rates.

3 – Determine if you want to pay additional points to decrease your rate

Oftentimes you can decide to pay additional points to lower the rate of your loan. Every point is 1 percent of the mortgage loan and is payable in cash at closing. To decide if you should purchase points, click here to use our points calculator.

4 – Compile your paperwork

Obtaining a mortgage loan requires a lot of paperwork, so you should take some time to get your documents together. Click here to get a list of normal loan documentation.