Let’s face it, there are some very real advantages of renting instead of owning. Most of those advantages are related to a change of scenery. When renting, you have a choice of where you want to live, what you want to pay each month for rent and how long you want your lease for. For […]
Have You Checked Interest Rates Lately?
More than a year ago when rates began to slowly move up after recent Federal Reserve comments indicated we can anticipate three and maybe four rate increases for 2018. That was based upon economic projections that indicated our economy was awakening from its extended slumber as job creation and the unemployment rate showed signs of […]
FHFA, HUD, FNMA, FHA, FHLMC: Who Are These People, Anyway?
FHFA, HUD, FNMA, FHA, FHLMC: Who Are These People? Well, they’re not really people. People certainly work there but in reality, they’re all government agencies that have some major connection with the mortgage industry. Some are relatively new and some not so much. The mortgage industry has so many acronyms it can get really confusing […]
Conventional Basic Approval Guidelines
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. […]
Do You Really Skip a Payment When Refinancing?
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 payment isn’t one of them. A […]
Why Portfolio Lending is So Important
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 lending is 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 […]
Do Mortgage Brokers Cost More? How Do They Get Paid?
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 […]
5 Questions First Time Buyers Need to Ask
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 […]
The Streamline Refinance Explained
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 refinance is where an existing mortgage is completely replaced by a new one. The term was originally coined when the Federal Housing Administration, […]
When NOT to Consider a USDA, VA or FHA Loan
There are three government-backed loan programs available today, the USDA, VA and FHA programs. They’re referred to as government-backed because the lender is guaranteed to be compensated should the loan every go into default. Each of these three have their own special niche that is filled. USDA loans are used to finance a property in […]
