Ask Your LenderThese Ten Questions

Ask these comprehensive questions to help you find the right loan that suits your needs.

1. What mortgage loans do you offer that are the more popular ones?
   
2. What mortgage type would work suit us best? And why?
   
3. Are terms, fees, closing costs and interest rates, negotiable?
   
4. Is private mortgage insurance required? How long is it be required and what is the cost? (Private mortgage insurance frequently is required for loans with a down payment of less than 20%. Many lenders will let you discontinue the policy once you have acquired a enough equity by paying the loan down.
   
5. Who services the loan? Is it the bank or is it a different company?
   
6. What requirements such as an escrow for taxes or insurance are necessary?
   
7. How long a loan lock period do you have? ( This is how long the loan rate will be honored.) If the rate drops lower, do you get the lower rate?
   
8. What is the length of the loan approval process?
   
9. How soon can you finalize the loan?
   
10. Are there prepayment penalties if you pay the loan of early?