With record low-interest rates and the spring season fast approaching, many people are looking to either sell or buy a home.
Buying a home can be a drawn-out process if you are not careful, but there are some things you can do to make the process faster, including securing your home loan as quickly as possible.
Paperwork
Whether you are applying with a traditional financial institution or an online mortgage broker, a mortgage application inevitably comes with paperwork and usually lots of it.
So prepare as much of your home loan paperwork in advance.
In most cases, you will need payslips, proof of earnings for the previous year, a list of your assets and debts, your credit history score and report, personal identification, and rental history.
If you are selling a property or remortgaging, it is also good to have all your title deeds, warranties, home valuation, building certificates, etc., ready in advance to speed up your home sale.
If you are self-employed or have unusual circumstances when applying for a mortgage, try to expect what the bank will look for, such as evidence of benefits, tax returns, company accounts, and so on.
Application
Online mortgage applications have become more and more popular over the past few years, and for good reason.
One benefit of applying with an online mortgage broker is the speed at which you can get approval, in principle, for a home loan.
Thanks to intelligent automated systems, an online application can be incredibly fast.
For example, with a mortgage adviser such as Trussle, you can get your mortgage application sent to a lender for a decision within five days.
Rather than trawling through endless mortgage options yourself, this comparison service has all the expert knowledge and can highlight the most appropriate lenders for each buyer.
Not just increasing your chances of being approved but also speeding up the process.
Usually, the back and forth between you and the bank takes up a lot of time, but with an online mortgage adviser, all paperwork is processed online, saving you a lot of time and stress.
Downpayment
Having a suitable downpayment ready to go will also significantly increase your desirability to lending institutions and make things run a lot smoother.
Saving a sizeable deposit over some time is the best approach, but if time is not on your side, you could try sourcing your deposit fast from alternative sources.
It pays to do a little research and find out what could help you get your deposit faster and, in turn, your home loan as quickly as possible.
For example, if you are a first-time buyer, you could borrow from your retirement funds, such as your 401(k) or IRA.
Of course, this is a short-term solution, as you will need to repay these funds.
If your household income is lower than the median in your area, you could also qualify for local housing programs that will help you out with a percentage of your deposit.