Thinking of financing your home in Waterville? Coldwell Banker Plourde Real Estate can help.

When buying a home, applying for a loan is exasperating for most people, but it doesn't have to be. Being close to some lenders in the Waterville area has helped me recognize some things that make the process of applying for a loan a snap.

1 – Make a list of questions about your loan program

If you find that you don't completely realize the ins and outs of all the various loan programs, be sure to bring a list of questions. I or one of my trusted lenders will assist you in understanding the advantages and disadvantages of both programs, because it's hard to know the distinctions between both fixed and adjustable rate mortgages.

2 – Decide when you want to lock

Locking in designates that your mortgage lender guarantees the mortgage interest rates for the loan – usually at the time the loan application is sent in. By floating the rate, you can lock the rate anytime between the day of your loan application and issuance of closing documents. Buyers who decide to float presume that interest rates will dip in the near future. Click here to see the outlook for the next 90 days of interest rates.

3 – Decide if you want to pay additional points to lower your rate

If you decide to pay additional points to lower the rate of your loan, you will pay for them in cash at closing. Every point is 1 percent of the loan. If you're undecided as to whether or not buying points is the best option for you, click here to use our points calculator.

4 – Gather your paperwork

Acquiring a loan requires lots of paperwork, so you should take some time to get all your documentation together. Click here to get a list of normal loan documentation.