Homes and Condos Real State in ----- Clarksburg MD
From http://clarksburgmdhomesforsale.com/
Types of loans to Buy Real Estate in Clarksburg Maryland
Loans have changed a lot the last few years. You can have a fixed interest rate or a variable interest rate.
FHA or no FHA . .VA or Conventional
Fixed rate loans have the same principal and interest payments during the loan term. Variable rate loans can have any one of a number of “indexes” and “margins” which determine how and when the rate and payment amount change.
If you apply for a variable rate loan, also known as an adjustable rate mortgage (“ARM”), a disclosure and booklet required by the Truth in Lending Act will further describe the ARM.
There are new programs that come into place almost in a daily basis. .your agent helping you should be knowledgeable of any loan programs that may apply to your case.
Lock-ins. “Locking in” your rate or points at the time of application or during the processing of your loan will keep the rate and/or points from changing until settlement or closing of the escrow process. Ask your lender if there is a fee to lock-in the rate and whether the fee reduces the amount you have to pay for points.
Find out how long the lock-in is good, what happens if it expires, and whether the lock-in fee is refundable if your application is rejected?
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