5 Key Questions to Ask Your Lender Before Finalizing Your Mortgage

Buying a home is one of the biggest financial commitments you'll ever make — and your mortgage plays a huge role in shaping that experience. Before you sign on the dotted line, it’s essential to have a full understanding of the terms, options, and long-term impact of your loan.

Here are 5 important questions to ask your lender before you finalize your mortgage agreement. These will help ensure you’re making informed decisions and setting yourself up for long-term financial success.

1️⃣ What Type of Loan Do You Recommend for Me?

From conventional loans to FHA, VA, or USDA loans — each loan type comes with its own benefits and requirements. Your lender should explain which option fits your financial situation and long-term goals best. A good lender won’t just offer a loan — they’ll offer the right loan for you.

2️⃣ Do I Qualify for Any Down Payment Assistance Programs?

Many buyers, especially first-time buyers, are surprised to learn they may qualify for down payment or closing cost assistance. These programs can significantly lower your upfront costs. Ask your lender about local, state, or federal programs you may be eligible for — you might be leaving money on the table!

3️⃣ What Is the Annual Percentage Rate (APR)?

The APR gives you the true cost of the loan, including both the interest rate and additional fees. Comparing APRs — not just interest rates — allows you to get a clearer picture of what you’ll actually pay over the life of the loan.

4️⃣ Can I Lock in an Interest Rate?

Interest rates can change daily. If you’re concerned about rates rising between now and your closing date, ask about locking in a rate. Some lenders offer a rate lock for a certain period, giving you peace of mind during the home-buying process.

5️⃣ What Will My Monthly Payment Be — and What’s Included?

Understanding your full monthly mortgage payment is key to budgeting properly. Ask your lender for a breakdown that includes principal, interest, property taxes, homeowner’s insurance, and any mortgage insurance (PMI) if applicable. You’ll want a clear picture of your recurring costs before you commit.

Final Thoughts

Your home-buying journey deserves clarity and confidence. Don’t be afraid to ask questions — the right lender will welcome them and help you feel empowered every step of the way. And as your Realtor, I’m here to help connect you with trusted, experienced lenders who prioritize your goals just as much as I do.

📩 Ready to get pre-approved or just have questions about the process? Let’s talk! I’m here to help you every step of the way.