What’s in a Loan?

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Real Estate

When you buy a home in one of the beautiful neighborhoods of the Barrington area, chances are you will not be paying for it in cash. It’s pretty much a given that you will need a loan. The trick is to get that loan at the lowest cost possible.

A good real estate agent can be your guide to this process of obtaining a loan. One of the first things an agent will tell you is to be sure your credit record is in good shape. There are several places you can check on your credit report cost free. Obtain a copy and go over it thoroughly to be sure it contains the correct information. If there are any mistakes, do what is necessary to correct it. Again, your real estate agent, or a loan officer at your bank, can guide you.

When you apply for a loan, you are revealing intimate information about your finances to the lenders. There is certain documentation that they will require, such as proof of income, tax returns, banking histories, and the like. Your agent should know which kinds of documents you should assemble in preparation for a loan application.

The next step is to get pre-approved for a loan. This will show that you are serious about the desire to purchase a house. It will give any offers you make on a house more credibility. It is also a good guide for you, as far as price range is concerned. You won’t waste your time pursuing properties you can’t afford, and your agent will know which properties are worth your time to view.

Remember that the interest rates quoted on TV ads for certain lending institutions are the come-on. In order to get that rate, one needs to almost not need a loan.
There are fees and costs that accrue during the process, also. All lenders aren’t equal. Compare the whole package from one bank to another. Try to get your quotes from two or more banks on the same day, because the rates can fluctuate quickly.

Some people will delay the acquisition of a loan in the hopes that rates will be dropping soon. That can lead to losing a property you really want. What’s worse, the rates may rise instead of lowering. It’s best to base your decisions on today’s reality.

You won’t be disappointed when you take a loan on one of the fantastic places in Barrington. If you would like to purchase a home, or if you want to place your property on the market, please call me, Dean Tubekis at (874) 809-8070. Stop by our office at 530 South Hough St., Barrington, IL 60010. If you prefer, you can browse my website, or follow me on Facebook, Twitter, or Pinterest. I can help you with all of your real estate needs!


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