Questions to Ask Your Mortgage Lender from Michigan

What is the average processing time?

The best mortgage lenders in Michigan take around 30-40 days to close the purchase loans. Refinance is often faster because appraisal might not be required.

How much can I borrow?

A lender uses your credit reports and other information to tell you how much amount you can borrow for your home. First-time buyers and military veterans can enjoy the benefit of government-sponsored mortgage programs. Get details of these programs from your lender.

What are the total costs?

For successful approval of the loan, you have to pay lender fees, taxes, and recording fees. The costs also include fees of third-party vendors to get appraisals, the title policy, credit reports, escrow, and pest inspection reports. Your broker will provide the Loan Estimate, with an estimate all these expenses.

How much do I have to pay upfront?

The lenders commonly ask for 20 percent as the down payment, though the amount can vary greatly. Some schemes allow you to pay just 3 percent. Get all the details beforehand.

What is the annual percentage rate?

Apart from the interest rate, you also need to ask about the annual percentage rate (APR) of the loan. It is calculated by dividing the interest rate and other loan fees by the loan’s term. The calculations may vary by the broker you have chosen.

You can note down your own set of questions to get a clear picture of loan for your home. Check this link if you are searching for the best mortgage companies in Florida: https://www.sonicloans.com/.

What is the Primary Purpose of a VA Streamline Refinance Loan?

The borrowers already having a VA loan can get VA Streamline refinance loan to change their term or lower their interest rate. The other loan programs ask for the minimum amount of equity in the property when offering refinancing options. This is not a case with VA streamline loan. You can secure this loan with little or no equity.

Another purpose of VA Streamline is to reduce funding fee. You need to pay only 0.5 percent of your loan amount as a fee. You can save the entire funding fee if you are:

• An active-duty service member with the Purple Heat
• An individual with a service-connected disability
• A qualified surviving spouse

Compared to other loan options, VA Streamline requires less documentation. You don’t have to obtain documents with proof of bank account, employment, and income.

In most of the cases, the appraisal process is more straightforward. There is no need for an appraisal in several instances. This allows you to get the loan faster and more conveniently.

For getting a loan, you don’t have to return to your original lender. The guidelines of this loan allow you to select the lender that offers terms and services as per your expectations.

VA Streamline refinance loan by Sonic Loans – At Sonic Loans, we help you get VA Streamline without any hassle. You can also contact us for FHA loan in Florida or Michigan. For detailed information, visit our official website: https://www.sonicloans.com/.