2020 and 2021 were tremendous years for homebuyers and refinancers, with near record setting lows for mortgage rates across the country. As we’ve begun 2023, the question on everyone’s mind has become: what will we see within the next year in regard to the fluctuating interest rates? In 2020, mortgage rates were some of the…
Categorized: Mortgage Basics
When considering purchasing a home, it is important to understand how to calculate your monthly mortgage payment to plan your budget for future expenses. We are going to cover the basics you’ll need to calculate an estimated monthly payment. With this information, you can get an idea of what purchase price you are comfortable with,…
With so many mortgage lending companies out there, you might be wondering how to find one that has your best interests in mind. It can be more difficult when predatory lenders use deceptive tactics and tricks to trap people into less-than-ideal financial situations. Look out for these five common signs and tactics predatory lenders use…
As rates rise, affordability dwindles. If you want more home for the same monthly payment, acting before mortgage rates rise further may be a direct path to success. How Much Can You Finance with $960/Month? Each example here shows the principal and interest payment for a 30-year, fixed-rate loan. 1- Loan of $180,000Interest rate: 5.00%…
If you are thinking about buying a home, an FHA home loan might be the right program for you. Mortgage Insurance Premium is a component of FHA home loans that you will want to know about if you decide to go with the FHA loan program. Below, we answer some common questions that you might…
Looking for your dream home is a long process, but if you’re not prepared, it could take even longer. The last thing you want to do is to find your dream home only to miss out! You’ve probably heard of mortgage “pre-qualification” and “pre-approval.” While they may seem interchangeable, they’re two different things you can…
There are several components to a mortgage that allow for mortgage interest tax deductions to qualify. Some people can qualify for all of them, while others only use one or two. Either way, they save you money on your total tax liability. The most common mortgage tax deduction is the interest you paid on the…
When people think about buying a home, they likely envision attending open houses and picking out new paint colors, not securing a mortgage. While getting a mortgage isn’t as glamorous as other aspects of buying a home, it is arguably the most important step in the process. Without a mortgage, most people wouldn’t have a…
When buying a home, mortgage rates are important! The truth about mortgage rates? They are always changing. It is wild to think that they can change from one day to the next, but it’s true.When dealing with mortgage rates, being educated is the first step in understanding how your mortgage rate can affect you and…
Your credit score is extremely important when it comes to applying for any type of loan or credit account, especially when you’re looking to purchase a home. Not only does your credit affect the total amount of a loan you may qualify for, but it also helps mortgage lenders determine a mortgage rate they’re willing…
How does mortgage amortization really work? A fixed rate loan can also be referred to as a fixed payment loan – However, the amount of principal and interest paid changes with each payment. Interest Paid – The math behind “amortization” or paying a loan off in a fixed period of time starts with the amount…
APR (Annual Percentage Rate) Comparing the cost of Home loans When you see a loan rate advertised, you’ll also see a corresponding APR (4.5%/4.762% APR). This Annual Percentage Rate is the total cost of your loan (interest and fees) expressed as a single number. The purpose is to give you one number for comparing multiple loans.…
Buying a home is an exciting process however you must ensure you have the details worked out for your loan to secure the home of your dreams. Getting all the details worked out for financing ahead of time will make the entire process much more enjoyable and stress-free as moving forward. Applying & Getting Pre-Approved…
Here are Mortgage DOs and DON’Ts to follow during your loan process. Mortgage DOs Keep All Records in Good Order. Keep your credit shining. Continue making payments on time. Your credit report may be pulled again, and any negative change to your score could cause you to lose your approval and your home. Understand that things…
Preparing in Advance Will Save You Time and Trouble Once You’ve Started Making Offers. INCOME Provide Your Last two paystubs along with your W2s and Federal tax returns for the last two years (include all schedules). State returns are not needed. If you are self-employed, ask me for the additional documentation requirements. If you receive…
The lowest mortgage rate is the best, right? The lowest rate certainly sounds best. But did you know the lowest rate doesn’t always mean the lowest cost? Mortgage interest is just one component of the real cost of owning a home. Interest rates are a reflection of expectations for inflation and the supply/demand equation for…
