Any Information About a Housing Loan?

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How's everyone guys? Have a wonderful year ahead! Well, I just want to know your opinion about borrowing or a housing loan. Our family has plans of purchasing a new house. But, we are thinking of getting a loan and we wanted to be aware of the interest rates. Any thoughts about this? Are the rates given reasonable? How about the buying process? Do you have any information about a loan options? Thanks!

I think a lot of that depends on the lender.

People can afford to buy houses without finance these days??

Seriously, your best bet would be to get someone trusted to refer you to an independant mortgage broker. I used one when I bought my first home and he was worth his weight in gold. If you're clueless and confused about the whole thing they can assist. They help you pick out a suitable home loan weighing up what features you want, decent interest rates, how much you can afford to repay etc. They get paid their commission from the lender you end up going with, so they won't cost you a cent to use.

Generally speaking, I've found that the cheaper the interest rate is the less features and benefits there are with the loan; for example no offset account. To make up for the lower rate some might even have higher monthly fees and initial establishment costs. Some of the really cheap loans are even online only, so in exchange for the excitingly low interest rate you get sh***y customer service from overseas call centres.

In terms of the buying process, get pre-approval for a home loan first. Have your home deposit and budget ready and go house hunting. When you've found something you like make an offer. If it's accepted you then exchange contracts and pay the deposit. Then you apply to get your home loan formally approved and the lender directly pays the house seller (or their mortgagee) the balance of the house purchase.

Thanks blue_bean and flinttranslator. Sorry for the uber late reply, been busy with "stuff" including scouting for the best place to get a mortgage loan. It's been almost a month and I've asked around. A close friend in the office mentioned that he got his mortgage loan from a local san diego credit union and claims that he got the lowest fixed mortgage rate available in town. He won't tell me which one approved him for the loan but that I should try First Financial or CalCoast to see if I can get approved.

Has anyone borrowed any type of loan from a credit union before? I'm kind of in the dark here and I'm afraid to get a quote and get hounded by numerous phone calls if I can't push through. Any feedback would be greatly appreciated. TIA.