Blog Category: mortgage

Doughnut

Choose Your Lender Based on the Three D’s: Doughnuts, Drinks, and Dinner!

According to Realtor Magazine, 72% of the time, buyers use the lender that the agent refers. How do lenders meet realtors to get those referrals? Lenders can meet realtors through many methods. A common one is to ply them with what I like to call the three D’s. Bringing doughnuts to the weekly realtor meeting. Picking up the tab for drinks. And buying a realtor dinner. The endgame is to make a realtor like you and hope that they become a referral source. Is there a better way? Read More

solar panels

Getting A Mortgage Loan With Solar Panels On Your House

Think about solar panels and mortgages when applying for your loan. The popularity of electric cars and solar panels is increasing. It’s important to point out that having solar panels on your house may impact your ability to get a mortgage. Many times, buying solar panels will be financed. And that is when they have an impact on your ability to purchase or refinance a mortgage. Read More

approved or declined

How Much Mortgage Can I Afford?

When you buy a new home, you need a mortgage to purchase it. And before you get a mortgage, you need to determine how much mortgage you qualify for. Different sources may qualify you for different mortgage amounts. And how much you qualify for does not necessarily equate to how much you can afford.

How much you can afford is based on your personal budget. When a mortgage lender tells you how much you can qualify for, that is the highest mortgage amount they’ll approve you for. But this may not be the mortgage size you end up closing on. Read More

Contract Agreement Signature

How to Make an Offer on a House: 5 Important Topics

Do you know how to make an offer on a house? It’s simple, right? There are many things to consider when you are making an offer on a house. When it comes to making an offer there are some key things that can make a difference! Below are some important topics related specifically to the mortgage when you’re getting ready to write up an offer on a home. Read More

House paid

How to Successfully Prepay Your Mortgage

 

Getting out of mortgage debt faster is a great way to save money on interest payments. For those who make additional payments on their mortgage it can save them money in the long term. A homebuyer can make prepayments on their mortgage principal any time, once a month or once a year, or whenever they want to. The principal is the amount they borrowed to buy the house and have to pay back to the lender. This is separate from the interest, which is what the lender charges you for lending the money. If you pay extra on the principal, it can help pay off your mortgage before the maturity date of the loan. Read More

rising prices

Interest Rates Can Go Up Too

There is always another bus, right? So why not wait for the next one? I am not sure I agree. The next bus may be broken down, or out of gas, or delayed beyond a comfortable waiting period. But I am not talking about a bus, I am talking about a refinance. I hear rates are going down 1% a week, and soon banks will be giving away money for free. Do not refinance now because mortgages will be free soon if you wait. And if you wait long enough, banks will even pay you to take a mortgage. Is this true? Come on! You know my sense of sarcasm. No, it is not true. But Read More

rules

New Mortgage Rules: Ability to Repay and Qualified Mortgages

As many of you have heard, there are some new regulations that have gone into effect for mortgages as of January 10, 2014. There are two basic components of the regulation, one is the ability to repay and the other is the qualified mortgage. While they seem complicated and onerous, the reality is that not much will change in the way most mortgage lenders do business.

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Police and frog thief

Watch Out For Wire Fraud In Mortgage Transactions!

New home purchasers can get caught up in a wire fraud scam in a mortgage transaction by cyber criminals if they aren’t careful! This type of fraud is happening more often. Some borrowers are fortunate enough to have a bank that recognizes that money is being sent to a suspicious account and the wire gets stopped. Otherwise, the mortgage borrower can lose their entire down payment on the house. Read More

pie chart

What Portion of My Income Should I Spend on a Mortgage?

What portion of my income should I spend on a mortgage? Deciding on how much mortgage you can afford is very complicated with several things to consider. Before you plan to spend the maximum amount you’ve been approved for, consider what you feel comfortable with. And don’t treat your home purchase like a zero-sum game. Consider spending a sufficient amount to buy enough house to keep you happy for a longer period of time. This is due to the hefty transaction costs of real estate. Read More