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  • If you’re paid twice a month or bi-weekly, your mortgage payment can be withdrawn in two smaller payments rather than one large one.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!

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Newest Homes for Sale in Dubois County

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

Completely remodeled 5 Bedroom 3 Bathroom Home in Jasper, IN. This house has new everything from the wiring and plumbing to the light fixtures. Brand new Custom Amish built Cabinetry that matches throughout Kitchen, Baths, and Laundry. Life proof flooring throughout main level and finished basement. The home has a completely open floor plan that will not disappoint. The property has a detached 2 car garage that has been renovated as well. This home has immediate possession and there is nothing that would need to be touched by the new owner. Owner is a licensed Real Estate Broker. $299,000 Active

1535 N Shiloh Rd. Jasper, Indiana

5 Beds 3 Baths 2,616 SqFt 0.844 Acres

Listing courtesy of Larry Carpenter III from Carpenter Realty LLC.

Quality & tasteful touches of the past are reflected in this graceful colonial home. The large entry foyer opens to a formal dining room on the right and a gigantic formal living room graced with a wood burning fireplace and access to a covered porch ideal for your outdoor entertaining. The balance of the main level consists of an offiice/study, bath kitchen and a bfakfast area. There are hardwood floors under the carpet on both floors according to the owner. Upstairs consist of 4 bedrooms and a full bath. The master suite has two large closets and opens to a balcony. A custom pull down stairs gives you access to lots of storage and possible additional bonus space in the third level of this home. The unfinished basement also provides space for a workshop, hobby area and storage. There is a 2 car garage and a private and scenic backyard space that has access to the PARKLANDS walking path. $224,000 Active

1825 Newton Street Jasper, Indiana

4 Beds 2 Baths 2,744 SqFt 0.536 Acres

Listing courtesy of Judy Gosman from RE/MAX Local.

Updated, Updated, Updated from top to bottom this home is like new. This 4 bedroom, 2 1/2 bath home is located only a block away from the new Jasper Elementary School on a .56 of an acre lot. Over 2,000 sq. ft. of finished living space plus a 24 x 26 garage. This home has all new plumbing, electric,roof and an energy efficent furnace and air conditioner. All new baths and kitchen from the studded walls to the new fixtures, lighting, cabinetry and tops. Also included are new kitchen appliances, dishwasher, stove and microwave hood. All new floor covering throught the main and lower levels. New garage door and opener, all new interior and exterior doors including a glass patio door that leads you the spacious fenced backyard. No more "Honey Do Projects" for the owner of this home, its all done and ready to move in. $217,000 Active

4215 Apple Blossom Lane Jasper, Indiana

4 Beds 3 Baths 2,002 SqFt 0.340 Acres

Listing courtesy of Judy Gosman from RE/MAX Local.