Which loan you'll use to buy Piscataway real estate in New Jersey may be one of the most important financial decisions you'll make. It's easy to get overwhelmed and intimidated by the lenders and the mortgage brokers. You need to know your rights when choosing a loan and a lender so you can be comfortable with the decision you make.
· You can shop around for the best rate and loan package. If you aren't happy with the deal the mortgage broker has put together for you, you are under no obligation to accept the loan.
· You have the right to know all the fees included in the loan. The lender has to give you a Good Faith Estimate of all the loan charges and fees, including the final amount you will pay in interest if you make all the payments as scheduled.
· You have the right to know in advance what fees will not be refunded to you if you cancel the loan.
· You have the right to ask your mortgage broker what he/she is being paid by the lender for arranging the loan.
• You have the right to know exactly why a loan was declined.
Make sure that you know your rights when shopping for a Piscataway real estate mortgage. You don't want to fall victim to predatory lending. Some signs of predatory lenders are:
· An appraisal value that is much higher than the value of similar houses in the neighborhood.
· A loan officer who tries to get you to accept a loan for an amount that you know you won't be able to repay.
· Being asked to sign a document with blank areas. You will be responsible for whatever terms are written into the blank spaces. Cross through any blank places, or write not applicable in the blank.
• A loan officer who asks you to exaggerate your income or reduce your debts to get loan approval.
Take the time to ask questions and get a second opinion of your loan offer from a reputable real estate professional or real estate attorney.
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Realtor Associate/Keller Williams Realty
Servicing Home Buyers and Sellers in Middlesex County, NJ