Asking the following questions will provide you with valuable information about your home loan.
- What criteria is used to determine if I am approved for the loan?
- What are the terms of the loan?
- Does the loan have a fixed or adjustable interest rate?
- If fixed, what is the interest rate? What will my monthly payments be?
- If adjustable, what is my current interest rate? What will my initial monthly payments be? When can the rates change? What determines the interest rate? Is there a cap for the interest rate? If so, what is it? What would the maximum monthly payment be? Can the loan be converted to a fixed rate at a later date?
- Can I prepay the loan? If so, will there be any pre-payment penalties?
- Do I need to establish an escrow account?
- Will I be required to obtain mortgage insurance?
- Am I picking the best loan to suit my needs? What are my other loan options?
For more information about home loans, mortgages and insurance, contact Insurance & Mortgage Services located in Batavia, IL.