Home Mortgage Process

The broker approaches several banks to find out the lowest possible interest rate you can get. The broker has an option to lock a rate for you in case you think the rates may go up soon before you close. Since the rates are different for different mortgage loan types you would need to decide first if you need a 30 years fixed rate mortgage or a 15 or 20 years one. You can also opt for an adjustable rate mortgage, commonly called as ARM that has interest rates normally lower than the fixed year mortgage loans. You should know the advantages an disadvantages between choosing a fixed year mortgage and an ARM.