What Questions Should You Ask a Lender When You’re Mortgage-Shopping?

What Questions Should You Ask a Lender When You're Mortgage-Shopping

Will they sell your mortgage? Some lenders will hold your mortgage in-house, while others will sell it to another lender after a time. If you can get your mortgage held locally and have a job with direct deposit, you have the option to set up a bank account and have part of your paycheck paid directly into an account from which the mortgage payment will be deducted. This provides you with the following benefits:

  • If you’re paid twice a month or bi-weekly, your mortgage payment can be withdrawn in two smaller payments rather than one large one.
  • For those who want to pay down the principal early, you can set up the payment to “strip” or pull all the money out of the account and make a small additional payment each month.

Does the bank require 20% down? If you have that much to put down, it may be tempting to do so. However, if you can make a smaller down payment and hold onto additional cash for a year or two, that money can help with any unexpected repairs. It’s nice to think that nothing will go wrong, but even brand new houses can have problems.

Do they offer commercial loans? If you’re just starting out, it’s a good idea to consider purchasing a duplex and living in one half of it. It may not be your ideal brand new first home, but it’s one of the only ways to get your neighbor to pay your house payment.

Are the rates fixed or flexible? When you’re starting out, it’s a very good idea to try to get a loan with a fixed rate. While the prime rate is currently quite low, that’s no promise that it won’t change. It’s tempting to think you can refinance if the rate changes, but if your credit rating changes, you may be stuck with a very expensive mortgage until you can refinance.

Is your loan an interest only with a balloon? There are points at which these loans make business sense, but if you plan to stay in the house long term, the balloon loan is not a good vehicle.

Are You Thinking of Buying a Home in Dubois County?

Use our site to search homes for sale in Jasper, Dubois, Spencer, Martin and Davis counties and all of our surrounding areas. Unlike the “big name” sites out there, at Sell 4 Free Welsh Realty our site is directly connected to our local MLS and is updated with new homes every hour. By signing up for New Listing alerts you can stay on top of the newest homes for sale and get price change alerts so you can stay ahead of other buyers and beat them to the hottest deals!

Start your Home Search now

Popular Jasper Indiana Home Searches:

Newest Homes for Sale in Dubois County

View the newest homes listed in Dubois County in the last 10 days:

Check out this beautiful 4 Bedroom and 2.5 Bathroom 2018 Build Home across from Precious Blood in Jasper, IN! This Home was beautifully done and has plenty of space for all your entertaining needs! Attached 2 car garage and a full basement that could easily be finished out with Egress Windows and plumbing ran. If you are looking for a turn key new home in a great location, no need to look any further. $549,000 Active

1459 Endress Ln. Jasper, Indiana

4 Beds 3 Baths 2,736 SqFt 0.500 Acres

Listing courtesy of Larry Carpenter III from Carpenter Realty LLC.

2091 E State Rd 64, Huntingburg: 3 bed 1 bath ranch home with full basement. Many recent updates have been made such as waterproof vinyl plank flooring, interior paint, bathroom vanity and mirror, just to name a few. Wood burning fireplace in the large living room gives this place a lot of character and makes it fee like home. There is a breezeway that connects the house and detached garage. The detached garage could be used for an at home business and offers plenty of room for storage. $159,900 Active

2091 E State Rd 64 Road Huntingburg, Indiana

3 Beds 1 Baths 1,215 SqFt 0.350 Acres

Listing courtesy of Gavin Smoot from KELLER WILLIAMS CAPITAL REALTY.

2 acres in the country with everything you need. This country setting features a top of the line modular home that has everything and then some. Walking into the foyer attached to a large living room with vaulted ceilings you are welcomed with open arms. The large kitchen, with all stainless steel appliances and large island, would make a chef proud. Attached is a nice dining room with access to the living room with an open feel. The split bedroom layout has a large master bedroom with walk in closet and a very nice open bathroom that includes a step in tub, walk in shower and a seperate restroom. On the other end of home you have two seperate bedrooms and bathroom. Off of the dining room you have a large florida style enclosed porch you will spend most of your time in. Outside is an open balcony for grilling or to enjoy your morning coffee. A 2019 30x42 detached garage with two garage doors, shop area, and bathroom snuggles up to the home. Also on the premises, you have a safe shed, another garage and outbuilding. You will want to see this one. $289,000 Active

5967 W 400 S Huntingburg, Indiana

3 Beds 2 Baths 2,440 SqFt 2 Acres

Listing courtesy of Jud Collett from F.C. TUCKER EMGE REALTORS.