Nevada Real Estate: What is a Good Faith Estimate (GFE)?

Posted by nevadahomehunt on April 23rd, 2014

Nevada real estate is thriving and there are numerous NV homes for sale. For most, a major part of the home buying process is acquiring a mortgage loan. Once you have filled out your application it is required that you be provided with a Good Faith Estimate (GFE) within three days of completing the application process.

A GFE is a form that provides home buyers with basic information concerning the terms of the mortgage loan. In addition to basic terms of the loan, a good faith estimate includes an estimate of costs associated with taking out a mortgage loan, and most importantly, how much money you need to provide when closing the deal. The only case in which a lender is not required to provide you with a good faith estimate is if your application is denied within 3 days.

While shopping around for mortgage loans, GFEs provide you with the information you need to compare costs to find the right one for you. The only question is how do you compare? Luckily, comparing good faith estimates is not difficult at all. Simply ask your lender to combine the costs in lines 1-3 of the estimate to provide you with the loan interest rate you qualify for. There is no limit to how many of these estimates you can acquire before making a choice.

After you have received your good faith estimate, the next step is to verify your information with the lender you select. In some cases you may be required to complete tasks pertaining to the property such as obtaining homeowners insurance. Once these tasks are complete, the decision of whether or not to accept your application will be made.

So if you’re looking to start buying Carson Valley real estate, give us a phone call – we’re here to help you through the entire process, and we can make lender recommendations for you.

About the company:

Nevada Home Hunt is one of the trusted Carson Valley real estate realtors which sold hundreds of homes in its eight years of journey and will sell many more. Nevada Home Hunt has built its reputation as premier real estate realtor. Apart from this, it provides homes for sale in Minden, Gardnerville, Dayton-Nevada and Genoa.