Purchasing a home or refinancing a home loan? If the interest rate is not locked, be prepared to watch the market very closely with your mortgage company. On closing escrow: Shorter term -consider moving into locking status as rates are volatile Longer term -take the position of floating as strong economic indicators point to improving…
Mortgage Insurance is like the plague to a monthly mortgage payment. It makes the cost of homeownership rise over time, only benefits one party… the lender. Mortgage insurance also known as private mortgage insurance (PMI) is an intergal component of many popular loan programs today; FHA Mortgages, USDA Mortgages and yes even standard Conventional Mortgages.…
As mortgage rates remain favorable, more consumers are rate savvy and rightfully so. Everybody wants to make sure they’re getting a competitive combination of rate and associated costs in their purchase or refinance loan. Comparing mortgages, doing true apples to apples comparisons can be quite time-consuming and nonetheless labor-intensive. Typical Way Consumers Shop Mortgages Most…
In short sometimes. Here’s what happens, the bank that owns the property is typically trying to control the transaction both on the listing side as well as on the buying side. Example-a bank such as Bank of America owns a house, in order for them to even consider looking at your purchase offer, they will…
The Harp 2 Refinance Program allows homeowners to refinance without any loan-to-value restriction. The program is slated to expire December 31, 2013, so if you qualify, start the process now. Despite what your current mortgage lender will tell you or what you might hear in the media, the program does have debt to income requirements…
As many now know, the Making Homes Affordable Program aka Harp 2 Refinance allows people to refinance if their loans are owned by Fannie Mae or Freddie Mac, with out any loan-to-value restriction. Successfully refinancing any occupancy home despite being underwater is quite common these days under this program. While this program, is helping many…
The annual percentage rate is always higher than the actual interest rate, because the annual percentage rate takes into consideration all of the costs associated with financing including prepaid items such as property taxes, hazard insurance and mortgage interest lumps them all together against your loan and re-amortizes the figures over the life of the…
The lender wants to make sure future debt obligations do not impact the integrity of repayment on the loan they are making to you. If the lender allows you to pay off the credit card balances, who’s to say you wouldn’t take out consumer debt again and be in the same situation you’re in in…