For Texas homebuyers, navigating the murky waters of the home loan process (texaslending.com/loan-process.asp) may be confusing. But Texas Lending (TexasLending.com) offers a straightforward, customer-focused approach to home loans that makes the process far less daunting. Below, Texas Lending answers common questions about the home loan process that should alleviate most concerns.
Q: I’m a first-time homebuyer. What should I expect during the home loan process?
Texas Lending: First, congratulations! Buying a home is an exciting experience. One thing we usually caution new homebuyers about is the paperwork. A home loan involves quite a bit of paperwork, but we work with customers to walk them through what each document means and why it is necessary.
Q: Will I qualify for a home loan?
Texas Lending: It’s important to visit a lender before beginning your search for a new home. The lender will review your documentation to determine whether you qualify. Very early in the process your credit history will be pulled since that establishes both eligibility and an interest rate for which you may qualify.
Q: Why is so much paperwork involved?
Texas Lending: Banks are concerned with protecting their own interests. Since 2008, lenders have been very cautious, so homebuyers must realize that banks aren’t merely trying to make life difficult for consumers. The necessary documentation must also comply with federal and state regulatory requirements. It is simply a matter of protecting the interests of the client.
Q: What about fraudulent practices? How can I tell if a lender isn’t operating above-board?
Texas Lending: One thing to watch for is a lender who rushes you through the process. You shouldn’t feel pressured to make any decisions before you’re ready. On the other hand, if you have been requested to provide certain documentation, it does need to be submitted in a timely manner or it will unnecessarily slow down the process. You should also watch out for hiked interest rates. Shop around and learn what interest rates you qualify for before agreeing to a rate that is well above the current interest rate for home loans. This is especially true if the lender is promoting no closing costs as part of the deal.
Q: Are there laws that protect me as a homebuyer?
Texas Lending: There are numerous laws that apply both to discrimination and unfair practices in the home lending industry.
Q: What laws protect me against discrimination?
Texas Lending: We would refer you to the Equal Credit Opportunity Act (justice.gov/crt/about/hce/housing_ecoa.php), which prohibits discrimination on any grounds related to race or nationality, but it also protects against discrimination based on your age or marital status.
Q: Can a lender ask my age or marital status?
Texas Lending: Yes. In fact, it’s quite common for lenders to ask questions about your age and marital status if you live in a state where community property is an issue. You may also be asked about your age if it might bring some benefit to you, such as mortgages that require a homebuyer to be a certain age. Reverse mortgages (texaslending.com/revers-mortgage.asp), for instance, only apply to homebuyers who are 62 years and older.
Q: Are there any state laws that apply to discrimination in my state?
Texas Lending: Many states have laws that apply to this. In Texas, the Texas Fair Housing Act (tdhca.state.tx.us/housing-center/fair-housing/) prohibits discrimination as stated under federal law.
Q: What do I do if I feel I’ve been a victim of discrimination in lending?
Texas Lending: Texas residents who feel they’ve experienced discrimination should contact the Texas Workforce Commission Civil Rights Division (twc.state.tx.us/crd/civil-rights-program-overview.html). The agency has a form for reporting a complaint.
Texas Lending is a Dallas-based home lender that provides home purchase loans (texaslending.com/purchase.asp), refinance loans (texaslending.com/refinance.asp), and home equity loans (texaslending.com/homeequity.asp) to residents in 12 states. Texas Lending works with customers to find the best loan for each unique situation, offering FHA and VA loans, in addition to conventional loan options and reverse mortgages. For more information on how Texas Lending can help you, visit texaslending.com.
4100 Alpha Rd.
Dallas, TX 75244