At Red Blue Realty, we know that buyers can use a helping hand to find the best real estate loans in Los Angeles. Currently, many strong mortgage lending options are available, and they’re attainable for buyers ready to uncover these financing options.
The very best loans are often available to buyers with solid credit scores. The lowest rates are offered to prospective buyers with a high credit rating – of 760 or more. To improve credit ratings, Red Blue Realty suggests that buyers avoid their credit cards. That means:
-don’t apply for new credit cards or loans
-don’t make large purchases on credit cards
Even if a balance will be fully paid-off monthly, spending a lot on credit lowers credit ratings. And naturally, if a buyer has a low credit rating due to foreclosure, bankruptcy, or other credit issues, proceed slowly. Bankruptcy ceases to be a mortgage credit issue after three years, even if the proceeding led to the loss of a home.
Real estate loans in Los Angeles require comparison-shopping, regardless of your credit rating. Red Blue Realty suggests you seek out six different quotes. In today’s real estate world, having options is key. And conforming, thirty-year fixed loans have price fluctuations between lenders as much as a quarter of a percentage point. Seek quotes from a variety of sources: credit unions, regional, and national banks and brokerages. It is advised to seek help from a mortgage officer like the ones at Red Blue Realty, as they have the capabilities to acquire what is known as wholesale rates.
And of course it’s not just a good rate that makes a real estate loan the best. Red Blue Realty’s pros suggest buyers also research loan fees and closing costs. Open a discussion on these points with any lender. Good faith estimates of closing costs are legally required and most lenders will respond to this inquiry when shopping for a loan. Note that average closing costs are in the range of two percent of the total loan balance but may vary depending on the loan.
The best real estate loans in Los Angeles may also be predicated on carefully matching the lock period on the loan to the loan itself. Red Blue Realty notes that buyers today often need around sixty days or more to close. Lock period extensions often cost fees of several hundred dollars. Talk with lenders about how long loans like yours can take to close. Then, don’t plan to lock for a lesser time period.
And, Red Blue Realty suggests buyers look beyond conventional fixed rate loans. Some of the best real estate loans in Los Angeles may be ARM’s. These adjustable rate loans can mean large savings, especially if a buyer plans to move or refinance. Monthly payments on an adjustable mortgage may average up to a full percentage point less than a fixed rate option. Red Blue Realty can consult with buyers about these and other options. Just send us an email or drop us a line.
Consulting with a mortgage broker will also assist buyers in finding many of the best deals that are available today. No matter what loan you choose, Red Blue realty can help with your selection. Remember, finding the best loan possible takes a little time, but is ultimately knowledge well worth obtaining.