Homebuyers

What Your Loan Officer Wants You to Know Before You Buy a Home or Refinance in 2026

If you’re planning to buy a home or refinance your mortgage in 2026, the people at the forefront of the home loan process have something important to tell you: The new year will reward those who are prepared.

Loan officers are the ones who review applications, help borrowers avoid costly mistakes, and see firsthand what separates successful applicants from the rest.

From timing your mortgage pre-approval letter to assembling your financial dream team, here’s what New American Funding loan officers want you to know as you consider making one of your biggest financial decisions in 2026.

Dan Brown, New American Funding branch manager in Newtown Square, Pa.:

Start early: Give yourself time to figure out a budget and maximize your ability to get a mortgage with the most attractive terms, such as a lower mortgage rate. Boost that credit score, pay down some debt, save additional money for a down payment.

Be decisive: When homes hit the market in desirable areas and at attractive price points, they don’t always make it more than a few days before going under contract. Have a game plan in place before going to see the home. What will your mortgage payments be every month? What is the maximum amount you would be comfortable offering?

Make sure to have your mortgage pre-approval letter in place. So, if you want to make an offer, you can do so quickly and with confidence, instead of rushing through the process only to be a little too late.

Leverage your home equity: Homeowners are sitting on one of the largest amounts of home equity in history. Many also have a high amount of debt. Some clients are holding onto mortgages with COVID-era interest rates, while struggling with higher rate debts on credit cards, personal loans, etc. 

Don’t just think about your existing mortgage rate. Look at the rates you have on all of your debt. You may be able to use your equity to set yourself up for monthly savings and debt elimination. This may be more beneficial than struggling to make ends meet on some debts just to salvage a 3% interest rate.

Work with a local lender: Buying a home is one of the biggest financial decisions that most people will make in their lifetime. Having a trusted, local expert guide you through the process can make the process less stressful. In certain situations, doing so may even help get your offer accepted.

Hamest Manoukian, New American Funding loan consultant in Whittier, Calif.: 

My best advice for anyone buying a home or refinancing in 2026 is this: Preparation is everything. I always tell clients to get pre-approved for a loan early. Don’t put it off, especially if this is something you want to do within the next 30 to 90 days. 

Getting pre-approved gives you clarity. Knowing your finances, your comfort zone, and your purchasing power upfront removes 90% of the stress.

I also wish more homeowners and homebuyers understood that interest rates are just one piece of the puzzle. Mortgage rates rise and fall, housing markets change, but the right home for you is one that builds real, lasting wealth. Additionally, focus on affordability, stability, and the monthly payment. This is what helps you sleep at night.

For refinancers, avoid waiting for the “perfect” interest rate. Instead, look at your overall financial health. If you can reduce high-interest debt, increase cash flow, or create breathing room in your monthly budget, that’s real value. That’s true even if the rate isn’t the lowest it’s ever been.

Above all, choose a lender who educates, guides, and advocates for you.

Stephen Moye, New American Funding sales manager in San Diego:

With so much going on in the world, home sellers in 2026 will gravitate toward drama-free transactions. You can be the sort of buyer they’re looking for by getting organized early and securing an underwritten mortgage pre-approval letter.

Gather your paystubs, bank statements, W-2s or tax returns, and a clear plan for your down payment funds. There is a real advantage to doing the work upfront.

An underwritten mortgage pre-approval letter removes anxiety and makes your offer the easiest one to accept. You’re showing the seller that you are likely to be approved for the amount you’re offering for their home.

Anthony Ramirez, New American Funding loan consultant in San Diego:

If you are planning to buy a new home, refinance your mortgage, or take out a home equity loan, it helps to put your financial team together.  

First, go over your finances. Don’t forget to speak with your significant other if you have one, be transparent, and go over future goals. Which debts need to be paid? What do you need funds for? Talk about travel plans for the year or needed major purchases. Discuss the family and the family’s needs.

Any kids going off to college? Do you want to renovate your property or consolidate debt? Is retirement on the mind? Take notes and be ready to share them with your financial team. 

Take the time to think about what the future looks like. Debt can be a powerful tool if used correctly. If you’re thinking about refinancing your mortgage, will you recoup the savings in a sufficient time frame?

These are all long, deep discussions that anyone thinking of obtaining a new loan or refinancing should consider. Why? Because it’s not cheap to get a new loan again later. 

Have your lender and your CPA working together to help map a plan out with you. This is especially important for those who run a business or are self-employed. Coordinate your tax filing strategy before the next year’s end. You may not want to be conservative and write off as much as possible or you may need to make some last-minute adjustments. 

I’ve spoken to so many business owners who are planning on purchasing new homes or refinancing their mortgages next year and we are already planning it. We are reverse-engineering their goals together to create a win-win situation for them.

Dan Brown NMLS # 179730

Hamest Manoukian NMLS #485360

Stephen Moye NMLS # 268619

Anthony Ramirez NMLS # 249819