Are you thinking about taking a mortgage loan, well it may be tough if it is your first time. For such situations, these are some questions that you can ask your lender.
Questions to Ask Mortgage Lenders
- What is the type of mortgage loan?
The first question would be the types of mortgage loan that the lender is offering. There are different kinds of mortgage loan like:
- Loan against Property
- Home loan
- Leasing loan
Based on your requirement you can choose the one that fulfils your expenses.
- How much can I borrow?
Once you know the loan, the second question would be the loan amount that you can borrow. Normally, if you are opting for a home loan, the loan is offered for close to 80% of the price of the property. 20% of the price has to be paid by the borrower from his/her savings
- What is the mortgage loan interest rate?
You must never shy away from asking the lender the interest rate at which the loan is offered. For different lenders, the rate may vary, so it is important to ask this question and then make the right decision about the lender you want to choose.
- What does the final closing cost?
If you are thinking that the principal amount is all you have to pay, then you might be wrong. The closing cost will include loan-origination fees, appraisal fees and attorney fees (if any), and many more. So, make sure to ask your ender this.
Conclusion
These are some questions that will help you understand the mortgage loan better. It will also help you in making the right financial choice for buying your house.
Must Read: A Complete Guide about What Is a Mortgage Loan and how to get?
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