Mortgage insurance might sound like it is something that it isn’t. Yes, it is indeed an insurance policy but it’s not a policy that pays the borrowers’ mortgage payments should they begin to default. Instead, it’s an insurance policy with the financial benefit payable to the lender issuing the mortgage. But it’s also a benefit […]
It might surprise some to learn that there are two primary types of lenders. There are direct lenders such as your bank and mortgage bankers. Banks provide mortgage services to their banking customers. With a bank, someone might appreciate the convenience of getting a home loan at the same place they got their auto loan […]
When you and I first speak together, it’s generally a Q&A sort of thing. You have questions, I have answers. The first is probably to check out mortgage rates to make sure we’re competitive and to get a general fix on the mortgage market. The next is to talk about getting prequalified, get a loan […]
In the mortgage industry, it’s referred to as an Explanation Letter. After someone submits a loan application to a lender, the lender might want some further explanation regarding an item that appears on a credit report or some other piece of documentation in the file. While a bit unsettling, such a request is fairly common […]
Often when a mortgage lender reaches out to an applicant after the loan has been submitted, the applicant’s first response is often, ‘Oh no, what do they need?’ After all, along with the initial application there was an additional amount of documentation the lender needed in order to process the loan. But in most instances […]
Debt ratios are utilized by lenders during the loan approval process. It’s an important piece, just one of several. Other factors such as credit, employment and assets are also pieces of the approval puzzle. Debt ratios on the other hand are the primary tool to determine affordability. Today, most loan programs set the guidelines for […]
In the mortgage industry, it’s referred to as an AKA letter, or Also Known As. An AKA letter is one written by the applicant at the direction of the lender. And it can be required for a number of reasons when the name on the loan application doesn’t match exactly the name or names appearing […]
Once your loan application is submitted, the application is documented with some personal financial information from you such as paycheck stubs and/or tax returns, bank statements and W2 forms. In addition to your personal information, various third party services are ordered in preparation for submitting the application for an approval. The loan application is reviewed […]
Financing a rental property is much like financing a primary residence or vacation home. The funding sources are pretty much the same and most lenders follow the same general set of guidelines. Most such loan programs are underwritten to standards set by Fannie Mae or Freddie Mac, although there are also other lenders who offer […]
The phrase, “’til death do us part” is one we’ve all heard. Unfortunately, many marriages don’t last that long. When a couple decides to separate, either legally or informally, there are different options to consider. Do they simply need some time apart to figure things out independently? Maybe have a little “breather” in order to […]
