How Lenders Count Revolving Debt vs. Installment Debt

Mortgage lenders want to make sure applicants can afford a new mortgage payment, and this means looking at your current revolving debt and installment debt. This mortgage payment includes not just the principal and interest amount toward the outstanding balance but also includes a monthly amount for property taxes, homeowner’s insurance and mortgage insurance when […]

It Might be a Great Time to Refinance. Seriously.

Let’s say that around the first of this month you checked mortgage rates to see if a refinance was in your future. Rates have been on a steady decline so far this year so it’s no wonder that you did make a quick check. And rates have fallen to the point in early March that […]

The Seesaw World of Mortgage Rates, Stocks and Bonds

If you’re like most people, you really don’t pay much attention to Wall Street on a daily basis. Sure, you’ll check your 401(k) when you statement comes in and peek at your IRA but in general, Wall Street is left for the so-called “experts” who buy and sell stocks every single day. But as you’re […]

VA Home Loan Changes for 2020

Perhaps the absolute best home loan option for those who qualify and want to come to the settlement table with as little out-of-pocket cash as possible is the VA home loan. The VA loan doesn’t need a down payment and is one of only two such government-backed programs with this feature. The other option is […]

Loan Processing: What Does it Really Mean?

Getting a home loan is indeed a process and a simple application will go through various stages before it finally funds. In the early stages, even before you’ve submitted your application, you speak primarily with your loan officer. Your loan officer will provide various loan options based upon your current situation and your goals. Your […]

Appraisal Management Companies: What They Do and Why

Appraisal management companies essentially do one thing: manage appraisals. Appraisal management companies have been around only a relatively short period of time compared with the rest of the mortgage industry, but they play an important role. An appraisal management company works directly with a lender to receive an appraisal order, place the order, receive it […]

Why Wholesale Lending is So Important

If you’re not familiar with the term “wholesale lending” in the mortgage industry, you’re not alone. If you have heard the term, it’s easy to misinterpret its meaning. “Wholesale” might imply universal or overall but that’s not the definition. Wholesale lending plays a crucial part in the mortgage business and I’ll explain why. What is […]

Why Rent Payment History is So Important

If you’re thinking about buying your first home or maybe you have owned a home before but it’s been a while since you did, you’re going to wonder about how to qualify in today’s environment. There are different qualifying guidelines based upon things such as your income and employment, current monthly debt, rent payment history, […]

Four Tips to Generate Positive Cash Flow on Rentals

Real estate is one of the unique asset classes that appreciates over time while at the same time providing the owner a monthly dividend. Name any other investment that does the same. Active real estate investors seek out rental properties that point to long term appreciation while getting paid each month to own it, to […]

What’s a Two-Step Mortgage?

Here’s another loan program you might not have heard of before but could be an attractive option for you. It’s referred to by lenders as a “two-step” mortgage. It’s so called because the interest rate on the mortgage changes once at a predetermined point in the future. There’s the initial rate, or the first step, […]