Resident Lending Group, Mortgages, Oregon

Mortgage Professionals you can trust.

Answers to Common Questions

We strive to educate our clients so they can make the best financial decisions. Below are some common questions that may help when buying or refinancing.
Please contact us for more information.


Q: What is the difference between mortgage brokers and banks?
A: At most banks the loans offered originate from that specific lender, so the rates and loan programs are limited to only what that particular bank has to offer. Mortgage brokers work with dozens or even hundreds of lenders, not as employees, but as freelance agents, leading to the access of a wide variety of loan programs. Because of this, mortgage brokers can usually find more competitive rates than a particular bank can offer or a lender who will make loans that a particular bank refuses. An example of a particular program possibly not offered at a retail bank would be a loan without mortgage insurance even if the borrower were putting less than 20% down on a home purchase.

Q: How long does it take to complete a typical mortgage transaction? 
A: If all information requested by the lender (i.e. Income and asset verification, down payment verification and property details) are given to the broker in a timely matter than the transaction can be completed in as little as 2 weeks. However it's recommended to expect around 4 weeks for completion.

Q: What does it mean to “lock” an interest rate?
A: To lock an interest rate means that for a specified amount of time you as the borrower have a commitment from a lender to a specified interest rate regardless of changing market conditions during that same time period.  It is also an option to "float" your interest rate if the situation deems this more appropriate.  Floating means simply a borrower electing to have interest rates move up and down according to market conditions.  An example of situation where floating the rate might be a better choice for someone is a client who is shopping for a home purchase but will not be able to move forward with the purchase transaction until their current home sells.

Q: How do I lock my interest rate?
A: An interest rate can be locked in at any point after a loan officer at Resident Lending Group has gathered some basic information about a borrower, including specifically a social security number and a credit profile.  While many lenders require a property address to lock a loan, this is not the case with every lender.  So, a rate can be locked during the pre-approval stage of the loan application process if this suits the best interest of our client. A borrower's credit score plays an increasingly significant factor in what rate they may qualify for.

Q: How do I apply for a loan?
A: Completing a loan application can happen in many ways; an appointment can be made to sit with a loan officer at Resident Lending Group, a loan officer can take the application over the phone, or a copy of the application can be mailed/emailed to you to be completed and returned.  It is ideal if the application is completed either in person or over the phone so that the necessary dialogue begins to ensure good communication and understanding of the borrower's needs.

Q: What does it mean to be pre-approved for a mortgage loan?
A: Being pre-approved means that a lender has initially agreed to extend a loan of a certain maximum amount to you based on credit, income and assets.  A borrower is pre-approved for a loan amount and payment.  Being pre-approved for a mortgage loan shows the seller and real estate agents that you a serious and qualified buyer and you may have a better chance of getting your offer accepted. Pre-approval is a wise step to take before shopping for a home.

Q: What is the difference between being pre-qualified and pre-approved?
A: Being pre-qualified means that the borrower has spoken to a loan officer, and discussed their financial situation. The buyer has informed the loan officer regarding income, debts, assets, savings and liabilities, however the buyer has not completed an application or provided the loan officer with any documentation regarding their financial situation. 

Based on this information, the loan officer believes the borrower will be able to secure financing up to a certain amount based on the information being provided.  Final approval will depend on verifying and documenting all of the information given.

Pre-approval is a new trend in the mortgage industry that tells a seller and real estate agent that you are a serious and qualified buyer. Final approval of the loan will be subject to an appraisal of the property and verification of borrowers information provided on the application.

Q: How long does the pre-approval process take?
A: With an increase reliance on technology in the mortgage industry, the pre-approval process can take as little as a few minutes.  Once an application is completed, the loan officer can pull credit, upload all the information to a lender and have an approval back in just a couple of minutes.

 

Building relationships with our clients to provide successful home ownerships.




Did You Know?

We offer a FREE pre-qualification form to help speed up the process and get you the information you need as quickly as possible. FREE online pre-qualification form


“We believe every client should be treated with the utmost consideration taken when evaluating their financial needs."


 

 

“Very knowledgeable, professional and friendly. Will definitely refer! "
—Melanie G

 

 

 

“Had a great overall experience, very pleased with your service "
—Elizabeth B

 

 

 

“Very happy with Maxine and her team. Great experience!"
—Kelsey D

 

 

 

 

 

 

 

 

 

 

 

 


Did You Know?

We offer a FREE pre-qualification form to help speed up the process and get you the information you need as quickly as possible. FREE online pre-qualification form