Mortgage

The importance of locking in an interest rate

The importance of locking in an interest rate

Many homebuyers take a sigh of relief once their search is over: at last, they have a property under contract. The hard part is done – the showings, the negotiating, and the approval are complete. But that doesn’t mean you can let your guard down: locking in an...

What are mortgage points? Should you pay them?

When people want to find out how much their mortgages cost, lenders often give them quotes that include loan rates and points. What exactly is a point? A point is a fee equal to one percent of the loan amount. A 30-year, $150,000 mortgage might have a rate of seven...

The Benefits of VA Loans

In the world of real estate, VA loans sometimes get a bad rap. However, there’s no reason for this unfavorable reputation. In fact, VA loans are often beneficial to both seller and buyer. What are VA loans? VA loans are also known as Veteran Affairs mortgages. They’re...

Mortgage commitment vs. Clear to close

Buying a home involves understanding many different real estate and mortgage terms. Two very important ones to learn for mortgages are “mortgage commitment” and “clear to close.” Below, we discuss the distinction between these terms and why the differences are...

5 questions to ask your mortgage lender

5 questions to ask your mortgage lender

Selecting a mortgage company is one the first steps in buying a home, and it’s an important one. Much of the home buying process hinges on the work performed by the mortgage company. As a buyer, you can essentially choose any lender. However, there are a few...

To Refinance, or Not – That is the Question

The following article is a summary of content from the book, “Realtor for Life,” written by Duane Duggan. When interest rates drop, you might wonder whether or not it makes any sense to refinance. Unfortunately, there are many different “rules of thumb” being directed...

Homeowner’s insurance: Replacement cost versus actual cost

Homeowner’s insurance: Replacement cost versus actual cost

Lenders are not as nervous to lend as they were a few years ago; as the recession abated, confidence rose. But this doesn’t mean they’re not changing things up. Nowadays, some are adapting their insurance requirements and mandating that home owners have replacement...

Closing a loan in the name of an LLC

Closing a loan in the name of an LLC

Closing a residential loan in the name of an LLC isn’t easy. Simply put, lenders want to lend to people, not to legally-protected companies. But potential homeowners set on this idea do have some options, with certain ones possessing more risk than others. What is an...

How the US Treasury influences your interest rate

How the US Treasury influences your interest rate

In good news for homeowners, interest rates have dropped, which is partly dictated by the U.S. Department of Treasury. In 2016, the treasury note fell after Great Britain’s decision to flee the European Union scared investors. But it rebounded when Donald Trump was...

Should you make extra mortgage payments?

Should you make extra mortgage payments?

You’ve probably heard people say that it’s a good idea to make extra mortgage payments. This pays down your balance and can significantly reduce the number of years that it takes to pay off your mortgage. However, it’s important to note that it’s not necessarily a...

9 grants and programs for first-time homebuyers

Buying a home for the first time can be daunting. In addition to mountains of paperwork and new financial terms to sort through, you'll face costs and fees that can quickly add up. In short, purchasing a home isn't a financial step to take lightly. Perhaps that's why...

Which type of lender is right for you?

There was a time when most homebuyers obtained their mortgage loans through their banks or credit unions. Today, however, there are a number of additional home-financing providers. Which one is right for you? DIRECT LENDERS Banks, mortgage banks and non-bank lenders...

Moving? High balance loan limits have increased again

Moving? High balance loan limits have increased again

Anyone looking for a new home knows one thing: they’re expensive. And that leaves prospective homeowners wondering whether they can afford to buy. While some people are able to purchase in cash, the vast majority of us must rely on loans, often high balance ones. High...

FHA refinancing tips

FHA mortgages work a bit differently than conventional loans. Understanding the differences can help you save money during the refinance process. If you have an FHA loan, keep these tips in mind. Saving on Mortgage Insurance premiums FHA mortgages include an up-front...

Why millennials are choosing FHA Loans in 2017

Why millennials are choosing FHA Loans in 2017

In Denver, Boulder and throughout most major U.S. cities, a growing number of millennials are buying a home with an FHA (Federal Housing Administration) insured mortgage. The findings are based on the latest report from Ellie Mae, a mortgage industry software firm...

What you need to know before buying mortgage insurance

What you need to know before buying mortgage insurance

If you’re like many borrowers who have less than 20 percent of a home’s value in equity or saved for a down payment, you need to know how mortgage insurance affects the cost of buying a home. What is mortgage insurance? Mortgage insurance – also known as private...

How do deferred student loans impact the mortgage process?

How do deferred student loans impact the mortgage process?

Homebuyers with student loans in deferment are often surprised when they begin the mortgage application process and realize that their deferred loan will be treated as monthly debt, making their debt ratios too high to qualify for a mortgage. Many borrowers overlook...

Should you pay down your mortgage with tax refund money?

Should you pay down your mortgage with tax refund money?

Do you have a tax refund coming your way? Are you trying to decide how to best spend that money? If you’re considering paying down your mortgage with your tax refund, here are a few things to consider. Compare other debts First off, if you have other debts such as...

Planned FHA reduced mortgage insurance rate reversed

Last week, we mentioned that loan limits increased for FHA mortgages. In Obama’s final weeks in office, he set into motion a decrease in the FHA monthly mortgage insurance rate, which would have saved buyers money and made home purchasing more affordable. However, the...

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