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Frequently Asked Questions
Have Questions? We’re Here to Help.
At Lending Harbor, we know the mortgage process can feel overwhelming especially if it’s your first time buying a home. That’s why we’ve compiled answers to some of the most common questions we hear from borrowers. Whether you’re just starting your home search or ready to apply, this page is here to guide you every step of the way.
If you don’t see your question listed, feel free to reach out. Our experienced lending team is always happy to provide clear, honest answers tailored to your situation.
Answers to Your Most Common Mortgage Questions
Whether you’re buying your first home or refinancing your current one, Lending Harbor is here to guide you every step of the way. Explore our FAQ to get clarity on the mortgage process, loan options, and what to expect from start to close.
What’s the difference between getting pre-qualified and pre-approved?
At Lending Harbor, we help you get clarity fast. Pre-qualification gives you a general estimate of what you can afford based on basic financial info. Pre-approval is more in-depth, we review your credit, income, and documents to issue a stronger, lender-backed letter. This makes your offer more competitive in today’s market.
How much do I need for a down payment?
It depends on your loan program, but Lending Harbor offers options with as little as 3% down and even 0% down for eligible VA and USDA borrowers. We’ll walk you through what fits your budget and help you understand all your options, including grants or assistance programs.
What’s included in my monthly mortgage payment?
Your monthly payment with Lending Harbor usually includes four key parts: principal, interest, property taxes, and homeowners insurance. If needed, we’ll also include mortgage insurance and HOA fees. We make sure everything is explained clearly so you’re never caught off guard.
What’s the difference between a fixed-rate and an adjustable-rate mortgage (ARM)?
We offer both. A fixed-rate mortgage keeps your interest rate and monthly payment consistent for the life of the loan. An ARM starts with a lower rate for the first few years, then adjusts periodically. Our team helps you choose based on your financial goals and how long you plan to stay in the home.
When does it make sense to refinance my mortgage?
If rates have dropped, your credit has improved, or you want to access equity, it could be the right time. At Lending Harbor, we offer a no-obligation refinance review to help you see how much you could save or how refinancing could help you reach new financial goals.
Will refinancing reset my mortgage term?
Yes, when you refinance through Lending Harbor, you start a new loan term. For example, refinancing into a new 30-year loan restarts the clock. But we also offer shorter-term options if your goal is to pay off your home faster.
What credit score do I need to qualify for a mortgage?
We work with a wide range of credit profiles. Many of our loan programs start around 620, and some government-backed options allow for even lower scores. We’ll help you understand where you stand and give tips if you need to improve your score.
What are closing costs, and how much should I expect to pay?
Closing costs typically range from 2% to 5% of your loan amount. At Lending Harbor, we provide a full breakdown upfront so there are no surprises. We also help you explore ways to reduce these costs or have the seller contribute toward them.