What you need to know before you apply for a home loan

This is the video I've been wanting to make for a while -- everything I feel savvy homebuyers should know before starting the home loan process in the Bay Area. Having represented hundreds of families, couples and individuals buying home and condos in San Mateo County over the years, I've seen clients who had have stellar experiences and others who had less than positive experiences.
An amazing experience would include you feeling like you got a fair rate, had solid communication, no surprises, and an on time closings. It sounds much easier than it actually is. You don't want to be the person who was asked for the same document two times, or be the person who is told two days before closing that your home will close a week late because the lender was so backlogged causing you to reschedule your moving trucks and extend the 30 day notice you already gave your landlord. These things are all completely avoidable.
I've seen it all, and there's no reason why with minimal effort you can have the positive experience you deserve.
In addition to this video, check out my article with a summary of what you need to know about getting started. burlingameproperties.com/arti...
If you're thinking about buying or selling real estate 🏡 in San Mateo County, or need a referral, I'd love to connect. 👋🏻 burlingameproperties.com/cont...
⏰ TIMESTAMPS:
Given the length and the how deep we go into this topic, check out the timestamps below so you can jump directly to any parts that are of most interest to you:
00:00 Introduction
00:34 The four steps of the financing process
01:47 Why a conditional underwriting approval is important and necessary
03:44 Pros and cons of working with a mortgage broker vs a direct lender (like a bank)
08:43 Should I pay cash if I can?
10:56 Intro to Mike Treon, PNC Bank, residential lender to discuss the underwriting process
12:32 Changes in the lending environment since the 2008-2009 mortgage crisis
13:44 Direct lenders can lend off their own balance sheet, and how that can benefit the client
14:25 The inversion of the previous rate model for small and jumbo loans
15:00 How lenders calculate a client's restricted stock units (RSU's) income in a hot market vs a slowing market
16:29 How the right direct lender can make the approval process faster
18:23 A walk through the process once you decide to talk to a lender
19:14 How lenders look at foreign assets
20:10 Avoid getting hooked in, and locking in your interest rate
21:22 Should you ask for the maximum amount you can afford?
21:52 The difference between pre-approval vs fully underwritten credit approval
23:28 Why a pre-approval is not sufficient, and how to avoid surprises
25:11 Steering clear of multiple lenders pulling your credit and how a good lender can help buyers get rates from other lenders
26:28 Once approved, what if any surprises could pop up in a shifting market?
28:44 Pros and cons of offering all cash and then taking out a loan
30:48 Buying and selling at the same time: misuse of the term "bridge financing" and how lenders perceive this strategy
31:18 How to navigate bridge financing with an equity line of credit and how it can save you money
33:55 How lenders factor in your rental property income as part of your purchase approval
34:49 What if I don't have enough equity for a line of credit or I don't want to go that route? What about a hard money loan?
36:04 When to engage a lender even if you're not ready to buy for a few months or even a year
38:40 What is an adjustable-rate mortgage?
41:35 The difference between an ARM and a 30-year fixed
42:31 The benefits of having a recast feature on your loan
44:42 A home is not to be traded like your Apple stock
Raziel Ungar | Realtor
650-822-7088 | burlingameproperties.com
Compass, DRE # 01701234