- How Does a Mortgage Transfer Work?
A mortgage can be transferred from one lender to another, from one servicing company to another and from one borrower to another. It is even possible for a borrower to transfer an existing mortgage from one property to another. Any… read more…
- How to Use Real Estate Comps
When you purchase a home, you need to understand what makes a property valuable so you can get a sense of what you should pay. One of the biggest factors in assessing a property’s value is real estate comps, which… read more…
- What Are Mortgage Refinance Points?
Mortgage points are fees you pay to help reduce the cost of buying a home. When you agree to pay points your lender can reduce your mortgage interest rate, which can save you money and potentially lower your monthly payment. If you already have a mortgage and plan to refinance, you may be offered the… read more…
- How to Buy a House That Is Not on the Market
When looking for homes to buy, you might assume your options are limited to properties that are listed for sale publicly. It’s possible, however, to purchase a home that’s not technically on the market. This isn’t necessarily the easiest path… read more…
- What Is a Loss Mitigation Mortgage?
Defaulting on mortgage payments could prompt your lender to initiate a foreclosure proceeding against you. If you’re unable to get caught up on payments, that could result in the loss of the home. Before things get that far, however, your… read more…
- House Hunting Guide
House hunting can be a very time-consuming and emotional process but it’s also one of the largest financial decisions most people make. It’s important to avoid potential mistakes that could leave you in a bad financial position for years to… read more…
- Understanding How Conventional Loans Work
When shopping for a mortgage, there are many types of loans. A conventional loan is the most common option for homebuyers. Understanding how conventional loans work can help you make a smart home buying decision. Here’s what you need to know. If you want to buy a home, a financial advisor could help you create a… read more…
- What Are Chattel Loans?
When you buy a house, the mortgage for that property is based on the combined value of the land and the building on that land. But not all buildings can be valued with the underlying land. Mobile and manufactured homes… read more…
- What Is a Mortgage Constant?
A mortgage constant, also referred to as the mortgage capitalization rate, is a percentage of the total loan paid each year. If you are in the market for a new home, this percentage can be useful for various reasons. For instance, it can help you better understand how much of your loan you are repaying… read more…
- Do 401(k) Loans Affect Mortgage Applications?
Applying for a mortgage loan means lenders will take a close look at your financial situation to gauge your creditworthiness. One thing lenders consider is your debt-to-income (DTI) ratio, or how much of your income goes to debt repayment each month. If you have a 401(k) loan, you might be wondering whether that counts as… read more…
- How Does Mortgage Hazard Insurance Work?
When it comes time to buy a house, you need to have certain types of insurance in order to secure a mortgage. As part of the lending process, your mortgage provider may ask for proof of those insurance policies, such… read more…
- What Is Freddie Mac?
Freddie Mac is a quasi-governmental organization that plays a key role in the mortgage industry. The full name is Federal Home Loan Mortgage Corporation, and it was created in 1970 as a private corporation chartered by the U.S. Congress. Freddie… read more…
- Understanding How Desktop Underwriting Works
When a mortgage lender evaluates a borrower’s application for a mortgage and the home that will be used as collateral and approves or rejects the loan request, the process is called underwriting. Desktop underwriting refers to automated tools that let loan officers quickly issue preliminary loan approvals and, after more information is added and verified… read more…
- How to Deduct Mortgage Points on Your Taxes
Purchasing mortgage points allows you to “buy down” the interest rate on a home loan. Doing so may result in a lower monthly mortgage payment and save you money on interest charges over the long term. The IRS also offers a tax break to eligible taxpayers who buy points on a mortgage. There are two… read more…
- What Is House Hacking?
Buying a home can be challenging, especially when it’s a seller’s market. Rising home values, paired with rising interest rates can influence how much home you can afford. If you’re ready to buy but are worried about finding a property that’s within your budget, you might try house hacking to save money. There are different… read more…
- Primary Mortgage Market Guide
The primary mortgage market connects mortgage lenders with borrowers who want to buy or borrow against owner-occupied homes, vacation homes and investment properties. Most homeowners need a mortgage to buy their homes, so it’s important to understand the process and… read more…
- Understanding All-In-One Mortgages
An all-in-one mortgage provides an opportunity for homebuyers to access the equity they’ve built in their property through a bank account. This relatively unique mortgage option could be the right fit for your finances if you’re looking for a mix between a traditional mortgage and a home equity loan. If you aren’t sure, then consider… read more…
- How Do Silent Second Mortgages Work?
When it comes to buying a home, a down payment is a major obstacle for most buyers. A silent second mortgage provides an opportunity to obtain the funds you need for a down payment but there’s a right way and an illegal way to handle this option. In general, you must notify the original lender about… read more…
- What Is a Mortgage Loan Originator?
A mortgage loan originator is an important member of the team of financial services professionals who assists individuals or legal entities in obtaining financing to buy real estate. Part of the mortgage loan originator’s job is to advise borrowers about… read more…
- Here’s Where Buying a Home Is Actually Getting Easier
Persistent inflation and rising mortgage rates are slowing down home sales. But a new study from the real estate website Zillow says that the housing market in cities could be better than in suburbs for the first time since the… read more…
- What Are the Costs of a Reverse Mortgage?
Reverse mortgages are designed to help eligible homeowners turn their home equity into income for retirement. Unlike a home equity line or line of credit (HELOC), a reverse mortgage doesn’t require monthly payments as long as the homeowner is using the property as their primary residence. That doesn’t mean that reverse mortgages are free money,… read more…
- Loan Processor vs. Underwriter
There are many moving parts when it comes to applying for a loan. Each loan application consists of several stages, such as gathering required information and documents and assessing the applicant’s information for approval. Because of the many steps involved,… read more…
- Loan Originator vs. Processor
Financing the purchase of a home is often a complex and confusing task. Fortunately, there are professionals whose sole job is to help you through the lending process, such as loan originators and loan processors. Working with mortgage experts can ensure you don’t make any mistakes while finding the most suitable mortgage for your needs… read more…
- How to Save for a Down Payment on a House
Are you planning to purchase a new home? Perusing the internet for new listings and fantasying about your life in a new house is the exciting part. Setting money aside for a down payment, on the other hand, may… read more…
- Can a Retired Person Qualify for a Mortgage?
It is entirely possible for a retired person to get a mortgage to buy a home and lenders are not allowed to use age to make credit decisions. A loan application from any borrower generally will be evaluated for the… read more…