Today’s world of mortgages is made up by two sorts of loans government backed loans and government insured loans. Government insured loans are hugely popular. The FHA Loan is the benchmark government loan appealing to many due to its flexible guidelines and lower down payment options. Here is one pitfall you need to know if…
Unlike an auto loan, a lease is a short debt that contain a future pay off. Here is why a lease can hurt your chances of getting a mortgage… Lenders look at the minimum monthly obligations that you pay on your debts. They take those minimum payments and add those to a proposed total mortgage…
Fannie Mae recently announced changes to its debt-to-income ratio policy, increasing its allowance from 45% to 50% starting on July 29th. Here is what that’s going to mean for mortgage borrowers going forward… A debt-to-income ratio is the benchmark tool lenders use to determine a borrower’s ability to repay. Such things as minimum payments on car…
Low down-payment loans have been around much longer than most people realize. 2008 was the re-emergence of the FHA, only requiring 3.5% down. Today loans backed by the government requiring even less down are becoming popular. Here’s what you need to know if you’re working with a low down-payment loan to purchase a home… Low…
Dodd Frank is the financial overhaul that took place a couple of years ago in the aftermath of the financial crisis. The House of Representatives on Thursday, June 18, are advancing a bill known as the Financial Choice Act putting into motion a series of events that may lead to the demise of Dodd Frank.…
Qualifying for a mortgage involves: an acceptable credit score, sufficient assets and stable income. These are to show you can support a mortgage payment, plus other liabilities. You must have a balance of all three to successfully qualify for financing. The following is what you must know when trying to qualify with “paper losses” on…
There is too much information circling around the internet, about how to remove mortgage insurance from your monthly mortgage payment. Unfortunately, it is not as simple as having 20% home equity either. Here is what you need to know about removing this dreaded housing cost. Is the loan insured by FHA or is the loan…
Contrary to what you may hear or read, your credit does not have to be stellar to get a mortgage. Most banks and lenders require at least a 640 credit score. However, not all lenders are created equally. Here is what you need to know if you are trying to get a mortgage with bad…