Stated income loans have made a comeback. But, people want to know, are the closing costs still higher? In most cases, yes, the costs on these loans are higher simply to make up for the risk the lender takes. It doesn’t have to be that way, though.Read on to learn how you can get the lowest costs possible on your stated income loan.Why Closing Costs are Higher First, let’s look at why lenders usually charge more on stated income loans. It all comes down to one reason – risk.Click to … [Read more...]
Is it a Good Idea to Use Retirement Funds to Buy a House?
If you’ve spent time as an adult contributing to your retirement account, you may not have a large amount to put down on a home. However, you may be able to use your retirement funds to buy that house.Is it a good idea, though? Technically, you can do whatever you want with your money. But, there are penalties and taxes to consider. Before you jump in headfirst, consider the following things. Only then can you make the right decision for yourself.Borrow vs Take First, let’s clarify the … [Read more...]
Things you Must Know About Choosing a Mortgage Lender
Today, finding the right mortgage lender may mean more than going to your local bank. Years ago, that’s all you had to do. Your local bank knew you and could get you approved for a loan. If they didn’t approve you, it was much harder to find a loan.Get today’s mortgage rates!Today, you have hundreds of options. Your local bank is still an option, but it’s not the only one. You can use other banks in the area, credit unions, and mortgage lenders. You can also try a mortgage broker. A … [Read more...]
How to Negotiate the Home Price With the Builder
Are you thinking about negotiating the home price of a new home? You might be in for an unpleasant surprise. Unlike existing homes, builders don’t often negotiate on new homes. They have a precedence they need to set.Unless you are the first person to buy in the development, other homeowners already agreed to a price. If the builder gives you the same home for less, they could have angry homebuyers on their hands. Second, the builder has to maintain a particular value in the development. If … [Read more...]
How to Find Legitimate Rent to Own Programs
First-time homebuyers often have a hard time getting qualified for a mortgage. Whether they don’t have the down payment or their credit isn’t good enough, they are often left renting. Luckily, there are rent to own programs that these buyers can utilize. However, they are not as easy to find as you might think. Unfortunately, there are a lot of scams out there, which makes it hard to figure out which programs are okay and which are not.Get today’s mortgage rates!We’ll help you learn how … [Read more...]
Should You Buy a Home That is Lis Pendens?
You come across a home you love only to find that it is lis pendens. What does this mean? Will it affect your chances of buying the home?Unfortunately, when a home has this status, you should steer clear of it. In general, it means that someone else may stake a claim in the home. Is that a chance you are willing to take? We’ll explore the topic in detail below.The True Definition of Lis Pendens Lis pendens means a pending lawsuit. Do you want to buy a home that has a pending lawsuit on … [Read more...]
Tricky Ways to Get the Seller to Pay Your Closing Costs
It’s no secret, buying a home is expensive. Not only do you have to worry about the down payment and moving costs, you have closing costs too. In most cases, you can expect to pay between 3 and 6% of your loan amount in closing fees.If you’re talking about a $200,000 loan, this can add up to as much as $6,000 - $12,000. That’s no small chunk change! If you are using a government-backed loan, such as the FHA or USDA loan, chances are you are hard up for cash. Coming up with that kind of money … [Read more...]
Don’t Let Your Employment History Hamper your Mortgage
It’s a standard rule – you need a 2 years employment history to secure a mortgage. That’s what you think, right? While it’s a good general rule – it’s not set in stone. There are exceptions to the rule and lenders willing to do otherwise. So how do you get around your sketchy employment past? We’ll show you how below. Stay in the Same Industry If you look at the true meaning behind the 2-year employment history rule, you’ll learn one thing. You don’t need to be at the same job for 2 years. You … [Read more...]
The Equifax Hack – What You Need to Know
More than 140 million people were affected by the Equifax hack. You have better chances of being a part of it than not being involved. That’s not a good thing. Your personal identifying information as well as financial identity may have been compromised, if not stolen. If you think there’s a chance you were a part of this, read on. We’ll help you know what you should do to protect yourself moving forward.What Information Did the Hackers Steal? The hackers in the Equifax hack certainly … [Read more...]
Does the No Doc Loan Still Exist?
If you asked anyone what the cause of the housing crisis was, you’d likely hear stated income loans. Another term for these loans is no doc loan. In other words, you don’t provide the standard documentation that full doc loans require.What’s the catch? Usually, you pay an inflated interest rate. Lenders make up for the risk by charging you more. You may also pay higher fees. But is the loan still around? If it causes such turmoil, could it really be available today?To a point, the loan … [Read more...]
