Do not shoot the messenger. It is a fun cliche, is it not? However, it is more than a cliche, it is truth. Why do so many of us act like three year old children when given news we do not like? The mortgage industry is currently full of messengers and full of hard news to deliver. The news is usually fairly innocuous, but people do not take it that way. Below are some examples where the response I hear from people leaves me puzzled. Read the rest of this entry »
What do you do in order to remind yourself of things? Tie a string around your finger? Use a paper day planner? Do you use a software or online calendar? How about just using my blog instead!? I hear of many people getting sold a refinance, instead of making sure they are doing it for the right reasons. Below are some good notes to remember when thinking of refinancing.
Important Things To Remember When Refinancing Read the rest of this entry »
Many people ask about 15 year mortgages. Some people ask about a 15 year mortgage in relation to refinancing, and they figure with lower rates maybe they can afford a 15 year loan instead of a 30 year loan. And some people inquire about a 15 year loan when buying a home, because they want to pay off debt faster. But the monthly payments are quite a bit higher on a 15 year loan, and although you can save a lot of money over the long haul, you really have to decide what you can afford, and if cash flow is more important than building equity. You do get a lower rate on a 15 year mortgage, but Read the rest of this entry »
We all want things to go faster. We wanted communication to go faster, so a phone was invented, then email and the internet. We wanted cooking to go faster, and someone invented the microwave. We wanted travel to go faster, and the car was invented, and then the plane. What is next?! In all my years in the mortgage business, it seems we still can't make the mortgage transaction go a lot faster. Why can't we get a mortgage done in a few days, or a week? Read the rest of this entry »
If you are going to be in your house long term, or forever, prepaying your mortgage is a great idea if you can afford to pay extra. The best way to save money on debt is to not have it! But many people do not realize that prepaying a fixed rate loan does not reduce the monthly payment. Prepaying a loan simply shortens the term. So prepayment builds equity faster, and ends the loan sooner, so you save money by having the loan for a lesser amount of time. Read the rest of this entry »