A look at what to expect for a mortgage application in 2022 - Earnest  Property AgentsBuying a home can be a daunting task, especially if you’re a first-time homebuyer. One of the essential steps in purchasing a home is getting a mortgage loan. While there are many lenders available, it can be overwhelming to choose the right one for you. If you’re in Columbus, Ohio, and looking to buy a home, this guide will help you understand the basics of home loans columbus ohio . Let’s dive in!


Types of Mortgages:

When it comes to home loans, there are various types of mortgages available. There are Fixed-rate mortgages, where the interest rate remains the same throughout the term. Adjustable-rate mortgages, where the interest rate changes based on market trends. FHA loans, which are backed by the government and offer low down payment options. VA loans, which are exclusively for Veterans, and USDA loans are available to those in rural areas. It’s essential to understand the different kinds of mortgages and choose the one that suits your needs.

Credit Score:

One of the key factors in getting approved for a mortgage is your credit score. A good credit score can increase the chances of getting a loan and secure a lower interest rate. Your credit score ranges from 300-850, and scores above 700 are considered good. It’s important to know your credit score before applying for a mortgage loan. You can check your score online or go to a credit bureau to get a report.

Down Payment:

A down payment is the amount you pay upfront to acquire the loan. The more you put as a down payment, the less you borrow, and your monthly payments will be lower. Typically, down payments range between 5-20% of the purchase price. However, some lenders may offer a lower down payment but with higher interest rates. It’s best to have a significant down payment to avoid paying mortgage insurance.

Closing Costs:

Closing costs are the fees you pay to the lenders for their services. These fees include appraisal costs, credit report fees, home inspection fees, and more. These costs are usually around 2-5% of the total loan amount. It’s important to note that closing costs are different from the down payment. It’s best to talk to a lender and estimate the total cost of the loan to ensure you have ample savings.

Find the Right Lender:

Choosing the right lender can determine your mortgage experience. Ensure you do your research and compare rates among different lenders in Columbus. A good lender should have excellent customer service, transparent fees, and the best interest rates. Don’t hesitate to ask questions and read reviews of the lenders online.


Purchasing a home is a significant investment, and choosing the right mortgage loan is a vital step towards homeownership. Understanding the different mortgage types, credit scores, down payments, closing costs, and finding the right lender can make the process easier. Before making any decision, ensure you consult with a professional mortgage advisor to understand the terms and requirements fully. With this guide, you’re now empowered to start the process of homeownership in Columbus, Ohio. Good luck!