10 Questions to Ask a Mortgage Lender in the Lehigh Valley
Before choosing a mortgage lender in the Lehigh Valley, it helps to understand the loan programs, rates, costs, down payment options, pre-approval process, timeline, and level of service available to you.
Whether you're a first-time homebuyer in Allentown, purchasing your next home in Bethlehem, or looking at an investment property near Easton, asking the right questions can help you understand your financing before you make an offer.
I’m Rich Sywensky, a Senior Loan Officer at RHMC and a lifelong Lehigh Valley resident. When I work with homebuyers, I encourage them to ask questions early so they understand their mortgage options, costs, and what to expect throughout the loan process. If you’re choosing a mortgage lender, here are ten questions to ask a mortgage lender before you get started.
Table of Contents
1. What Mortgage Programs Do You Offer?
Quick Answer: Mortgage programs can include conventional, FHA, VA, USDA, jumbo, renovation, and investment property financing, depending on your income, credit profile, property type, and goals. Pennsylvania buyers may also qualify for PHFA programs such as the Keystone Home Loan and Keystone Advantage Assistance.
Mortgage programs vary based on your income, credit profile, property type, down payment, and financial goals.
Depending on your situation, financing options may include:
Conventional loans
FHA loans
VA loans
USDA loans
Jumbo loans
Renovation loans
Investment property financing
Other specialized mortgage programs
For Pennsylvania buyers, the Pennsylvania Housing Finance Agency (PHFA) offers programs designed to help qualified homebuyers with financing and down payment or closing costs. The Keystone Advantage Assistance Loan Program, for example, can provide qualified borrowers with up to 4% of the purchase price or market value, up to $6,000, toward eligible down payment and closing costs.
Buyers in Lehigh and Northampton counties may have different eligibility requirements depending on the program, household income, purchase price, and property.
Understanding the available programs early can help you determine which financing options may fit your situation.
2. What Interest Rates and Loan Terms Are Available?
Quick Answer: Common mortgage terms include 30-year and 15-year fixed-rate loans, while adjustable-rate mortgages may have an initial fixed period before the rate can change.
Your interest rate affects your monthly principal and interest payment and the total interest paid over the life of the loan.
When comparing mortgage options, look at more than the rate. Consider the:
Loan term
Monthly payment
Closing costs
Points
Loan type
Estimated cash needed to close
Potential changes to the payment
A lower advertised rate does not necessarily mean a lower overall cost. Comparing the complete loan structure can give you a clearer picture of what you're actually paying.
3. What Fees and Closing Costs Should I Expect?
Quick Answer: Mortgage closing costs can include lender fees, appraisal charges, title expenses, recording fees, prepaid taxes and insurance, and Pennsylvania realty transfer taxes.
Closing costs vary by transaction, loan program, property, and location.
Pennsylvania currently imposes a 1% state realty transfer tax on the value of real estate transferred. A local realty transfer tax may also apply, and local rates can vary.
In most Pennsylvania municipalities, the combined transfer tax is about 2%, commonly split between buyer and seller. In Allentown, the total rose to 2.5% on January 1, 2026.
Other potential costs include:
Lender fees
Appraisal
Title insurance and title-related charges
Recording fees
Prepaid property taxes
Homeowners insurance
Mortgage insurance, when applicable
Other transaction charges
Understanding these costs before making an offer can help you budget for the full amount needed to purchase the home.
4. How Much Should I Put Down?
Quick Answer: Conventional financing can be available with as little as 3% down, FHA generally requires 3.5%, and eligible VA and USDA financing can require 0% down.
The right down payment depends on the loan program, property, available savings, and your overall financial situation.
Putting more money down can reduce the amount you borrow, while putting less down may allow you to preserve cash for:
Emergency reserves
Moving expenses
Home improvements
Furniture
Repairs
Other financial priorities
Pennsylvania buyers should also consider whether they qualify for PHFA assistance. Keystone Advantage, for example, can provide qualified borrowers with up to $6,000 in eligible down payment and closing cost assistance.
5. How Long Does the Mortgage Process Take?
Quick Answer: Many home purchases close in approximately 30 to 45 days, although the actual timeline can vary based on the loan program, property, appraisal, documentation, and underwriting.
The mortgage process generally includes:
Pre-approval
Home search
Purchase agreement
Loan application and documentation
Appraisal
Underwriting
Final approval
Closing
Getting your documentation organized early can help prevent unnecessary delays.
In the Lehigh Valley market, coordinating the mortgage timeline with your real estate agent, seller, title company, and other parties can be especially important once you have an accepted offer.
6. How Does the Pre-Approval Process Work?
Quick Answer: A mortgage pre-approval is typically valid for about 60 to 90 days, although the exact period can vary by lender and circumstances.
A pre-approval generally involves reviewing information such as:
Income
Employment
Credit
Assets
Debts
Identification
Other financial documentation
A pre-approval helps establish an estimated purchasing range before you begin making offers.
It can also help you move more efficiently when you find a home you want to buy because you've already completed part of the initial financial review.
For first-time buyers in Allentown, Bethlehem, Easton, and surrounding communities, getting pre-approved early can clarify what you can afford.
7. Will I Have a Dedicated Mortgage Professional?
Quick Answer: A dedicated mortgage professional can remain your primary point of contact from application through closing, including evenings and weekends when available.
The mortgage process can involve questions about documentation, underwriting, appraisal, rates, closing costs, and loan conditions.
A consistent point of contact makes it easier to know where to turn when questions come up.
For me, communication is an important part of the mortgage process. I want my clients to understand what is happening, what is needed from them, and what comes next.
8. What Happens After I Apply?
Quick Answer: After you apply, the lender may verify your income and assets, review your credit and documentation, order an appraisal, and submit the loan for underwriting before final approval and closing.
The process can involve several stages, including:
Document collection
Income and asset verification
Property appraisal
Title work
Underwriting
Loan conditions
Final approval
Closing disclosure and closing preparation
Knowing what to expect can make the process easier to follow.
If we request additional documentation, providing it promptly can help keep the loan moving toward closing.
9. What Happens If My Financial Situation Changes?
Quick Answer: Taking on new debt, changing jobs, making a large purchase, or moving significant amounts of money can trigger additional documentation or underwriting review before closing.
Once you are pre-approved, it is important to keep your financial situation as consistent as possible until the transaction is complete.
Examples of changes that may require additional review include:
Opening a new credit card
Financing a vehicle
Taking on new loans
Changing employment
Making a large purchase
Moving money between accounts
Receiving large deposits that require explanation
If something changes, communicate with your mortgage professional before taking action whenever possible.
10. Are You a Direct Lender, and Who Makes the Approval Decision?
Quick Answer: At RHMC, we are a direct lender with in-house processing, underwriting, and closing, so the mortgage is handled within our organization rather than being placed with an outside lender for the approval decision.
This is an important question for buyers to ask because not every mortgage company operates the same way.
As a direct lender, RHMC handles the mortgage process directly, including processing and underwriting. That gives our team greater involvement in the loan from application through closing.
I believe this structure is particularly important when a buyer needs clear communication about where their loan stands, what documentation is required, and what is needed to reach the closing table.
When you're comparing mortgage lenders, ask who actually makes the underwriting decision and whether the lender handles the loan in-house.
Ready to Talk Mortgages in the Lehigh Valley?
Buying a home is a major financial decision, and understanding your mortgage options before you make an offer can make the process easier to navigate.
Whether you're purchasing your first home in the Lehigh Valley, moving into your next home, or investing in Pennsylvania real estate, I'm here to help you understand your financing options and the steps involved.
Rich Sywensky
NMLS #1834172
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