April 12th, 2018 6:48 AM by Jackie A. Graves
Buying a home is exciting. It’s
also one of the most important financial decisions you’ll make. Choosing a
mortgage to pay for your new home is just as important as choosing the right
You have the right to control the
process. Check out our other
blogs on homebuying topics, and join the conversation on Facebook and
Twitter using #ShopMortgage.
Homebuying and shopping for a
mortgage can be overwhelming. We’ve developed some useful tools to help you
throughout the process, from deciding on a budget and the amount of your down
payment, to choosing a mortgage loan, all the way through closing on your new
1. "From here to
roadmap will help you understand the steps involved in buying a new home
and getting a mortgage. Your goals, financial situation, and other factors,
such as your local housing market, will influence and inform your homebuying
Everyone’s process is different,
but the roadmap will help you know what to expect and what steps you should
take along the way—like checking
your credit and comparing
2. Explore interest rates tool
If you’re like most people, you want the lowest interest rate you can find
on your mortgage loan. Reducing your mortgage interest rate by even a fraction
of a percent might save you thousands over the life of your loan.
interest rates tool can help you understand the range of mortgage interest
rates you can expect to receive. By entering information on your credit scores,
loan type, home price, and down payment, you can see what interest rates have
been recently offered to people in your area with similar circumstances. Seeing
what rates have been offered to other consumers will help you consider your
loan choices and can help you feel more confident when you talk to different
lenders. Loan rates are updated daily in the explore
interest rates tool, so be sure to check back often.
3. Loan Estimate and Closing
Estimate Explainer and Closing
Disclosure Explainer are designed to walk you through each part of the
forms, so you understand what’s in them and so you can talk to your lender
about anything that doesn’t seem right or make sense.
When you apply for a mortgage loan, the lender has to provide a Loan
Estimate which gives you important information about the loan you’re
requesting. You can request Loan Estimates from multiple lenders so you can
compare and choose the loan that's right for you.
After you choose a lender and a loan, that lender must provide a Closing
Disclosure that gives you the details of the loan you’re agreeing to. You
should receive the Closing Disclosure at least three business days before
you’re scheduled to close on your mortgage. Compare the Closing Disclosure with
the Loan Estimate and make sure the terms are what you thought you were
agreeing to. Follow up with your lender to ask any questions and address any
If you’re ready to own a home
If you decide that now is the right time to buy, we’ve got a lot of
information on consumerfinance.gov to help you get started.
Get a copy of Your
Home Loan toolkit for an overview of the process and some tools to help you
define what affordable means to you.
Visit Owning a Home to
help you navigate the process all the way to closing.
Check out Ask CFPB, our
database of common financial questions.
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