The Mortgage Files

Nationally syndicated mortgage news and advice from Senior Loan Officer Scott Sheldon.

Mortgage Rates Are Higher. Is an adjustable rate mortgage a better fit?

By Scott Sheldon / July 1, 2013

This depends on a few factors: risk appetite- comfortable are you knowing that interest rates down the road will be different, put another way, how comfortable  are you with the unknown? loan hold time- selling the  house or refinancing again in the next 5 to 7 years? If you know this than an adjustable-rate mortgage…

I Have More Than 4 Financed Properties.Are There Any Choices For Me?

By Scott Sheldon / June 28, 2013

Yes! Lots of mortgage companies still have a requirement that basically states, financing is unavailable for individuals who own more than four financed properties. This is a somewhat limiting condition, indignant of a smaller boutique type mortgage company, that is relatively small in the bigger picture of mortgage lending. Mortgage financing does exist for individuals…

Why Is My Mortgage Pay Off Higher Than My Principal Balance?

By Scott Sheldon / June 24, 2013

When you refinance a mortgage, the lender you’re paying off has to estimate the amount of days of daily interest it will take for them to get paid off in full and for your new loan you’re obtaining to go into place. For example let’s say you’re refinance lender, orders a payoff  at the beginning…

Do I really skip a mortgage payment when refinancing my home?

By Scott Sheldon / May 28, 2013

No,  the payment is actually made through the close of escrow in the form of prepaid interest. Let’s dive into this a little further: when you pay off a mortgage, the lender will add in what’s called prepaid interest on to the current principal balance and the payoff demand will be reflected higher than what…

Refinancing Fees: Finance Or Bring Cash To Closing?

By Scott Sheldon / May 17, 2013

We receive this question very frequently. Does it make sense to finance closing costs into the loan amount or is it more beneficial to bring the closing costs into the close of escrow? First things first-no matter how the closing costs are paid, amount remains the same, unchanged. Take a $300,000 loan amount for example…

Should I pay down my principal mortgage balance to refinance or upgrade my home for a better value?

By Scott Sheldon / May 2, 2013

This depends on what your long-term goals and objectives on your home. Let’s say the property as a primary residence, and you don’t plan to move anytime soon. Best to start the refinance process, and get the appraisal back. Once the appraisal comes back, and you know the value of your property then it’s just…

Who Has The Best Rates For A Sonoma County Home Loan?

By Scott Sheldon / April 22, 2013

The answer is nobody. Not anyone lender has a monopoly on the market. Interest rates change on a daily basis. When you hear interest rates advertised on the radio or online or you hear that interest rates drop again the information is automatically outdated. Why is this? Very simple answer-mortgage rates are tied to mortgage…

Why Should I Work With a Lender Whose Interest Rate Is Higher?

By Scott Sheldon / April 20, 2013

Question is a pretty common one, most consumers typically  compare at least 2 to 3 lenders to see who has the best combination of the lowest interest rate and lowest fee. What people are really trying to find is the lowest cost mortgage and rightfully so, taking out a home loan is a big financial…