The housing crisis is behind us and more lenders are willing to provide a stated income loan. How do you know which lenders are good and which are not? What’s the best way to shop for this loan?Looking for Current Mortgage Interest Rates? Click Here.This guide will help point you in the right direction. What is a Stated Income Loan? First, let’s look at today’s stated income loan. It’s not the same one from 10 years ago. Before you could literally state your income and assets and get a … [Read more...]
When is it Not a Good Idea to Refinance Your Mortgage?
When rates fall, it can be very tempting to run out and refinance your mortgage. Did you know that it’s not always a good idea to do so, though? Below we offer tips on when you should not consider refinancing. Closing Costs are too High Every time you refinance you pay closing costs. If you don’t pay them because you have a ‘no closing cost loan,’ you pay them in the higher interest rate. One way or the other, you are paying the bank because they don’t write loans for free.Get Matched with … [Read more...]
House Hunting the Right Way
House hunting means more than shopping for a home. You have to take the right steps in order to make sure you get the right home. It’s more than about the home itself, it’s also about the financing and finding the right neighborhood too.Get Matched with a Lender, Click Here. Do Some Soul Searching Before House Hunting Start the process by doing some soul searching. What is it that you want in a home? How long will you be in the home? How much room do you need? Is this a forever home or is … [Read more...]
Why is the Truth in Lending Act Important?
Many things have changed in the mortgage industry, but one thing that remains the same since 1968 is the Truth in Lending Act. Otherwise known as TILA, this federal law helps make sure consumers receive fair treatment when obtaining a loan. It ensures that all consumers understand the terms and how to shop around for the right loan for themselves.Compare Offers from Several Mortgage Lenders.All mortgage lenders must provide TILA documents within three business days of loan application. … [Read more...]
Simple Ways to Save Big Down Payment on a House
It’s no secret, putting a big down payment on a house helps you get a mortgage. It helps you get approved and helps keep your monthly payment down. But saving up thousands of dollars can seem rather overwhelming. Here are some simple ways to save for a big deposit on the house of your dreams.Get Matched with a Lender, Click Here. Look at Your Spending Habits The first step might not be the most pleasant. It’s time to look at your spending habits. Look at your bank statements over the last … [Read more...]
The Top Credit Mistakes to Avoid Before a Home Purchase
You put a bid down on your dream home and it was accepted! Congratulations! Now you need to get yourself to the loan closing. If you already received a preapproval for your financing, you are halfway there. Remember, though, you still have to verify everything you stated in your contract. You also have to be very careful about what you do with your credit between now and the loan closing. There are many credit mistakes people make that ends up costing them their dream home in the end. Closing … [Read more...]
Guide to 12-Month and 24-Month Bank Statement Mortgage Programs
Sometimes you just can’t qualify for a loan the standard way. Self-employed, seasonal, and commissioned employees often have this trouble. They don’t have a steady paycheck and they take numerous deductions on their taxes. Both of these issues combine for a very risky loan, causing lenders to turn them down. Luckily, there is the option of the bank statement loan. Using 12 or 24 months of your bank statements, you may qualify for a loan.Compare Offers from Several Mortgage Lenders.Keep … [Read more...]
Income Verification Requirements for a Home Equity Loan
Do you have equity in your home and want to know how to tap into it? The good news is that it is fairly simple. The bad news is you have to qualify for it. It could be a little harder only because you likely already have the large debt of a first mortgage. Now you want to add another debt on top of it. There are willing lenders, but you must know how they verify your income to determine if you qualify.Looking for Current Mortgage Interest Rates? Click Here. Verifying Your Income Do you … [Read more...]
Important Contingencies You Should Include in a Home Purchase Offer
Once you find a home you want to purchase, you have to put in a purchase offer. This isn’t just the number you are willing to pay for the home. It also includes the contingencies you will require before signing the purchase contract.Looking for Current Mortgage Interest Rates? Click Here.The contingencies are often just as important to the seller as the price you’ll pay. The contingencies determine how many different ways you have to back out of the contract in a specific period. Of … [Read more...]
How to Avoid PMI With an LTV Over 80%
If you borrow more than 80% on a conventional loan, you will pay PMI. It could cost you hundreds of dollars every month. You pay it until you owe less than 80% of the value of your home. That could be a long time if you borrow 95% of the home’s value. Even with home appreciation, it could still cost you thousands of dollars in total. Luckily, we have a few ways you can avoid it.Looking for Current Mortgage Interest Rates? Click Here. Take a Piggy Back Loan With an LTV Over 80% If you have … [Read more...]
