A Shoppers Guide to
Getting a Mortgage
The Gold Key Experience
Let Your Financial Institution Pull Your Credit Score
If you’ve gone to one of those “free credit score” sites online, you may think you have an accurate version of your credit score. However, you may only be getting part of the picture. Lending institutions pull your scores from different, more nuanced engines. There can be as much as a 60-point difference in your score, and it’s very often in your favor. Your score may be better than you think.
You May Not Need as much down payment as you think
People often forgo purchasing a home because they believe that they need at least 20% of the purchase price for a down payment. This generally isn’t the case. Lower down payment options are available to most borrowers. The required amount of down payment can vary, however, for applicants with low credit scores, or unique financial circumstances, so consult your loan officer for more details.
consider more than just conventional fixed rate
The 15 and 30-year conventional fixed loans are the bedrock of the mortgage industry. However, you may be able to get a better deal if you qualify for certain government loan options. For instance, military veterans can get great rates on mortgages and low down payments through a VA loan. Buyers who are purchasing a property that is in a rural area may be able to take advantage of great rates with small down payments through a loan offered by the US Department of Agriculture. Look at our Resources page for more information on the types of loans we offer and whether you might qualify for them.
think of your new home as an investment
When you rent, you write your monthly check and that money is gone forever. But when you own your home, you build equity through monthly payments of principle. You may also be able to deduct the cost of your mortgage loan interest from your federal income taxes. In addition, the value of your home may go up over the years. Finally, you’ll enjoy having something that’s all yours – a home that shows your own personal style as well as an investment in your future.
Know the Loan Process
Step #1: Pre-qualification
You will start your home mortgage journey by applying with one of our Loan Officers. They will assess your financial and personal situation to see which home mortgage is right for you. This step allows our team members to get to know you and build a relationship that will last throughout the home loan process.
Step #2: Origination
During this step, you will meet with your Loan Officer face-to-face to go over the important documents pertaining to your home loan. You will be expected to bring in supporting documents for your loan application. We will discuss the mortgage contract and you will officially secure your Century Mortgage home loan.
Step #3: Processing
This step in the mortgage loan application process is one of the most important. During this stage, we will verify all of your financial information and do an initial check of your income, assets, and credit. If everything looks like it should, we will order a Title and Appraisal on your new home to ensure its value.
Step #4: Underwriting
This step in the loan process is where our loan underwriting team looks over your application to ensure that we have everything we need. As long as your financial or personal situation hasn’t changed and Century’s guidelines and internal underwriting requirements are met, everything should be approved and your mortgage loan can move forward.
Step #5: Clearing Conditions
Every new mortgage loan has a set of ‘conditions’ that need to be met before a final sign-off can happen. Our team will make sure that you have the proper items in place, such as homeowner’s and flood insurance. They will also reassess your finances one last time to make sure that everything is still the same as when we started.
Step #6: Closing
The best part of any mortgage loan application. This is where we officially sign off on your home loan and wire the funds for your mortgage and escrow. Documents will be sent to a closing attorney who will make everything official and you will receive the keys to your new home!
Find More Resources
Gen Xers Better off while Boomers and Millennials Moving with their Kids
Generation X is finally on the mend and on the move. Young Boomers are buying homes with enough room for their adult children to live with them. Millennials are heading to the suburbs with their kids. All this was revealed in a recent study by the National Association of Realtors® (NAR), the 2017 Home Buyer and Seller Generational Trends, which evaluates the generational differences of recent home buyers and sellers.Read More
Recent New Home Sales Surge
Despite persistently low inventories of homes for sale and recently increased mortgage rates, new construction sales rose 6.1% on the month and increased an impressive 12.8% on the year, according to the Census Bureau. The Midwest led the charge, with sales increases of close to 31% month over month and more than 50% on the year. Transactions in the Northeast fell just over 21% in February from January but were still up.Read More
FHA Loans on the Rise Thanks to Millennial Buyers
The most recent Millennial Tracker report released from Ellie Mae indicates that the mortgage market FHA loans are on the rise – and will likely continue to be – as increasing numbers of Millennials take on the rite of homeownership. Millennials, who make up a growing number of homebuyers in the U.S., are leveraging FHA loans to maximize the advantages of lower down payments and lower average FICO score requirements.Read More
What our clients say
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*Loan programs and program terms are subject to change at any time. This is not a commitment to lend. Please note that a true cost comparison between renting and homeownership requires consideration of many factors, including costs of upkeep and maintenance incident to homeownership that you may not have as a renter. Nothing on this page is intended to constitute tax or financial advice. Please consult a licensed financial advisor or tax attorney for information specific to your circumstances.