Conventional loans are by far the most popular choice among home buyers. Conventional loans are those underwritten to standards set forth by Fannie Mae and Freddie Mac. When a loan is approved using these guidelines it is then eligible for sale in the secondary markets. Selling a loan allows the lender to continue making mortgages. […]
This is an all too common phrase some lenders throw out when marketing their refinance programs or when speaking with a loan officer on the phone. A refinance replaces one loan with another and there are multiple reasons to refinance other than lowering an interest rate but skipping a mortgage payment isn’t one of them. […]
There is a term in the mortgage industry called “portfolio lending” and it’s a specific type of home loan program that caters to a particular situation. Portfolio loans are so important that without it the real estate industry would suffer. What is a portfolio loan? It’s a loan that does not fit into any secondary […]
There are different ways to get a new mortgage. A bank will offer a mortgage, so too will mortgage bankers. Each has its very own department that decides which loans to offer and what rates and fees to charge. A bank offers various financial services such as checking and savings accounts while a mortgage banker […]
Buying a first home is probably the biggest financial decision someone can make. For those who already own their own homes they can relate. It’s a process that can be explained upfront but until someone goes through it, experience is the ultimate teacher. Finding, buying and financing a home can be a rather drawn out […]
Have you heard of the term “streamline refinance”? Lenders certainly have and when you discover what this process actually is, you may very well decide it’s time to refinance after all. A streamline refinance is where an existing mortgage is completely replaced by a new one. The term was originally coined when the Federal Housing […]
For those who occasionally wonder whether or not it’s time to consider buying a home and stop being a renter, it can be difficult to ultimately lead to the decision to drop the landlord and buy your own home. There won’t be any midnight revelation that says, “Buy Now” or anything remotely similar. Even if […]
There are three government-backed loan programs available today: The USDA, VA and FHA loan programs. They’re referred to as a government-backed loan because the lender is guaranteed to be compensated should the loan ever go into default. Each of these three has their own special niche that is filled. USDA Loans USDA loans are used […]
Many mortgage programs like to have a loan application that checks off all the boxes. This means approving both the property as well as the borrower. The property is approved primarily by reviewing the property appraisal. The appraisal contains a wealth of information about the property including the general condition of the home, a legal […]
If a low down payment mortgage is your preference, there are two programs that might suit your needs. The Conventional 97, a Fannie Mae product, and the FHA loan. They’re both very similar and even more so beyond the low down payment. If you’re eligible for both programs, there are some questions to ask to […]
