HELOC stands for “Home Equity Line of Credit”. A HELOC is a special type of loan that allows you to tap into the equity you have built up in your home without refinancing your entire mortgage. In other words.. it is basically a second mortgage. How much money you can…
Unfortunately, the majority of distressed homeowners do not qualify for Loan Modification Programs. Most struggling homeowners, as well as mortgage experts, are of the opinion that the US Government is still not well enough equipped and armed to fix the housing problems within the nation. According to recent reports, it…
What is a Balloon Mortgage? The mere mention of the words “balloon mortgage” is enough to make some people’s hair stand on edge. They have likely been burned by one in the past, or at least know someone who has. To most people, balloon mortgages are a dangerous risk to…
If you’ve ever had the pleasure of refinancing a mortgage you’ve learned that there’s nothing fun about it. Mountains of paperwork to fill out and numerous lender fees make it a laborious and costly process. But there are times when refinancing a mortgage is a smart move. With interest rates hovering…
First-time home buyers are often shocked when they see the list of closing costs they must pay when purchasing a home. What are Closing Costs? Some of these fees are charged by the mortgage company, while other fees are payable to different parties. Your realtor should explain all of this…
If you’ve been shopping around for a mortgage you have undoubtedly heard the term “points” mentioned many times. But if you are like most people, you haven’t the slightest idea what it means. What are Mortgage Discount Points? When people talk about mortgage points, they are usually referring to mortgage…
When Do You Need Private Mortgage Insurance? Private Mortgage Insurance (PMI) needs to be obtained from the lender in any case where the down payment is less than 20 percent of the sales price. It is not beneficial to you in any way whatsoever, but in case you are not…
When shopping around for a mortgage, keep a close eye on mortgage interest rates. The interest rate on your loan will have a major impact on your monthly payment. Even small differences in rates can have a large impact over the life of the loan. Obviously you want to keep…
Federal Housing Authority (FHA) loans and Conventional loans both refer to different types of home mortgage loans, with conventional loans encompassing all mortgages regulated by the current Fannie Mae (Federal National Mortgage Association) and Freddy Mac (Federal Home Loan Mortgage Corporation) lending limits. There are two main differences between these…
Unless you have a few hundred thousand dollars burning a hole in your pocket, you’re going to have to take out a mortgage in order to buy a home. And.. you will need to make sure that all of your finances are in order so there will be no last…
