July 31, 2010
- Mortgage Rates At All-Time Lows
Mortgage Rates At All-Time Lows
Mortgage interest rates continue to see new record lows, hitting rates not seen since the 1950s. But brokers say few of the many homeowners rushing to take advantage and refinance their loans will be able to qualify.
The high levels of unemployment and depressed property values in many parts of the country [...]
July 7, 2010
- Mortgages: No-Doc Loans Are Back
Mortgages: No-Doc Loans Are Back
Did you think the housing collapse killed off "liar loans"–those infamous bubble-era mortgages for which people were allowed to get creative in portraying their ability to make the payments? Well, they're back, and that may be a good thing.
In the height of the housing boom in 2006 and 2007, low-doc loans [...]
June 24, 2010
- Reverse Mortgages: Possible Answer for Struggling Seniors
Reverse Mortgages: Possible Answer for Struggling Seniors
Many older Americans find themselves house rich and cash poor. They own their home, or at least have significant equity in it, yet struggle to make ends meet each month. They could sell their home, but are not inclined to move and leave their memories behind.
A reverse mortgage may [...]
June 15, 2010
- Comparing a Home Equity Loan to a Second Mortgage
Comparing a Home Equity Loan to a Second Mortgage
A home-equity loan and a second mortgage are very similar. Both use the equity you have in your existing property as collateral for a new debt. The main differences between the two options are in the structures of the liens and the payment schedules.
Lien Structure
A second mortgage [...]
June 12, 2010
- Confused By All The Types of Home Loans?
Confused By All The Types of Home Loans?
Once you begin shopping for a mortgage, you will quickly learn there is a mind boggling assortment of types of mortgages.
First of all, today's borrower has to choose between fixed and adjustable rate mortgages. A fixed rate mortgage will usually be at a higher rate than a variable [...]
May 25, 2010
- New Credit Screening Possible June 1st
New Credit Screening Possible June 1st
If you're buying a home and applying for a home mortgage, here's some important news: Beginning June 1, your lender is likely to order a second full credit screening immediately before closing.
The last-minute credit report will be designed to find out whether you have obtained — or even shopped for [...]
May 5, 2010
- 4 Ways to Save on Closing Costs
4 Ways to Save on Closing Costs
Closing costs for a home average 3% of the purchase price — and go as high as 6% in higher-tax areas. Plus, for most loans you must still come up with a down payment of at least 5%. But you can use the following strategies to reduce the pain:
Have [...]
April 29, 2010
- Interest Only Mortgages
Interest Only Mortgages
There are those who say that interest-only mortgages are the main reason for the housing market's problems in recent years. Loans were given fast and loose, with many home buyers barely qualifying for the interest portion, never mind the principal when it was added in.
Still, interest-only mortgage loans are still out there, and [...]
April 27, 2010
- Reverse Mortgages: Pros and Cons
Reverse Mortgages: Pros and Cons
If you own a home but are struggling to make ends meet, a reverse mortgage might be one way to boost your financial security. However, it’s important to investigate the pros and cons fully – and to seek out a qualified, professional financial adviser or institution to help you make the [...]
April 6, 2010
- FHA Mortgage Changes Now in Effect
FHA Mortgage Changes Now in Effect
If you are looking to get an FHA home loan there are some changes you need to know about that just went into effect on April 5th. The changes are not all bad, fortunately, but the expensive one for borrowers is the cost of upfront mortgage insurance premium.
The upfront mortgage [...]
March 26, 2010
- Navigating the Mortgage Minefield
Navigating the Mortgage Minefield
Even if you have stellar credit these days, there may be stumbling blocks in the road toward getting approved for a mortgage.
The smallest misstep can set back the process. Lenders check credit reports at the beginning and toward the end of the process, any changes are scrutinized and could be cause for [...]
March 15, 2010
- Underwater on Your mortgage? Thoughts to Consider
Underwater on Your mortgage? Thoughts to Consider
In the fourth quarter of 2009 another 600,000 homeowners found themselves "underwater" or owing more on their mortgages than their homes were worth. In fact, the total number of households in this situation is now over 11 million people or 24 percent of all properties that carry a mortgage. [...]
March 3, 2010
- Underwater on Your Mortgage?
Underwater on Your Mortgage?
The housing market is still very unstable. One month we read that home sales are strong and home prices are rising. The next month we see that sales are down. One piece of discouraging news that came out recently was that in the fourth quarter of 2009 another 600,000 homeowners found themselves [...]
February 18, 2010
- Considerations When Planning to Refinance Your Home
Considerations When Planning to Refinance Your Home
Home refinancing is one of the popular and widespread choices among homeowners in today's real estate sector. It is an alternative that most homeowners are trying to understand and avail due to its beneficial outputs and objectives. If you are one of those who are still weighing their options [...]
February 10, 2010
- New Rule Affects Foreclosure Avoidance Program
New Rule Affects Foreclosure Avoidance Program
The Obama administration overhauled its struggling foreclosure avoidance program recently, saying it would require homeowners seeking to ease their mortgage terms to document their financial situation before a trial modification is granted.
Borrowers previously could have their interest rates lowered and the terms of their loans extended on a trial basis [...]
February 7, 2010
- FHA Loans: Waiting Will Cost You Big Time
FHA Loans: Waiting Will Cost You Big Time
The FHA is making proposals to change mortgage insurance premiums, FICO (credit score) and down payment combinations and seller concessions. The changes will be posted in the Federal Register next month and after a comment period would become effective early summer.
With these rule changes, an FHA loan could [...]
January 17, 2010
- 5 Things to Check Before Refinancing
5 Things to Check Before Refinancing
Since mortgage rates have remained low, homeowners have been rushing to refinance. But before you lock in at a lower rate, here’s a checklist to make sure you’re saving money and getting the best loan for your needs.
1. Use a refinance calculator to make sure you are saving money. Calculate [...]
January 15, 2010
- Mortgage Modification: A Credit Score Killer
Mortgage Modification: A Credit Score Killer
Many troubled homeowners view President Obama's foreclosure rescue plan as a way out of their financial troubles. What they don't realize is, entering a trial mortgage modification can actually hurt their credit.
Let's face it, most people who apply for the president's plan are already delinquent in their mortgage payments, which [...]
January 14, 2010
- Mortgage Modification for Distressed Homeowners
Mortgage Modification for Distressed Homeowners
Homeowners experiencing financial hardship can now take advantage of the Home Affordable Modification Program (HAMP). HAMP is the national loan modification program offered in the Obama Administration’s Homeowner Affordability and Stability Plan which mortgage servicers are implementing broadly to bring long-term affordability to homeowners struggling to keep their homes. Navigating [...]
January 11, 2010
- Rules to Clarify Cost of Mortgages
Rules to Clarify Cost of Mortgages
The complexities of shopping for home mortgages has always been a struggle for home buyers. Now, the Federal Government is trying to help.
Federal rules that took effect on January 1st now require mortgage lenders and brokers to give consumers better estimates of the barrage of fees they incur when taking [...]
