While both are expressed as percentages, your interest rate and annual percentage rate (APR) will be different. Put simply, an interest rate is the fee you pay to borrow money from a lender. An APR includes the interest rate, but also incorporates certain fees and expenses associated with taking out a loan, generally resulting in a higher percentage. Interest rates and APRs are both great tools for comparing loan options.

Mortgage brokers, like us, work with many different lenders to provide financing to their clients. They can generally provide a wider array of loan options, help those with unique situations, and shop for the best rate between multiple lenders. Banks lend their own money and have a set amount of loan options for their borrowers to choose from.

Your required minimum down payment will be based on your loan type. VA and USDA loans can have down payments as low as 0%. The minimum down payment for an FHA loan is 3.5%. Conventional loan down payments can be as low as 3% for a first-time homebuyer (meaning you haven’t owned property within the last three years), or 5% for subsequent purchases.

Mortgage insurance (MI) is paid for by the borrower and is protection for the lender if the loan is defaulted on. The type and amount of mortgage insurance varies depending on loan type and down payment amount.be as low as 3% for a first-time homebuyer (meaning you haven’t owned property within the last three years), or 5% for subsequent purchases.

Interest rates are based on the level of risk a lender is taking by extending a loan to a borrower. Many factors go into the pricing of an interest rate, but credit is a main proponent. A higher credit score generally means less risk to the lender, and therefore, a lower rate. Alternatively, a low credit score will indicate higher risk and result in a higher interest rate.

A mortgage credit pull will appear as an inquiry on your credit report. The new inquiry may temporarily lower your score by a few points, but it should not make a significant impact. Additional credit pulls for the same reason in the same time period, such as for mortgage shopping, will not lower your score any further.

When interested in purchasing a home, the first thing you should do is reach out to a loan officer. They will help you determine how much home you can afford and guide you through the next steps, such as obtaining a pre-approval letter and connecting you with a real estate agent. Visit our team page  or call our main office at 509-491-3200 to be matched with a loan officer that will best fit your needs.

You’ll start by obtaining a pre-approval letter from your loan officer, and then work with a real estate agent to find your new home. After you have a purchase contract in place, we will obtain an appraisal and guide you through gathering documentation. Once the underwriting process is complete, your loan will be cleared to close and we will work alongside the title company to prepare for your signing appointment. Finally, you’ll sign closing documents and receive your keys! For more information on what to expect, visit our page on the homebuying process.

We will need a completed loan application and information about your income, assets, and credit. The required documentation varies based on your income source and whether you are looking to purchase or refinance an existing home loan. Visit our documents page to view a complete list for each scenario.

Yes! We serve new buyers and current homeowners who are looking to purchase or refinance a property anywhere in Washington or Oregon.