The Underwriter is the person working for the bank or lender that analyzes the risk and determines whether or not the lender can make the mortgage loan. They are evaluating the borrowers willingness and ability to repay the loan as well as determining whether the property meets the lender and government requirements for the loan. Some […]
Why some sellers only want a Cash or Conventional Buyer?
Where To Get your Down Payment from?
Here are just a few options of where your down payment can come from when purchasing a new home. Savings/Checking Accounts – This is money that you have saved from your own income and paychecks 401K Loan/Distribution – Some 401K plans allow you to take a loan against your 401K or a distribution. Check with […]
Can Private Mortgage Insurance Be Removed?
The Homeowners Protection Act of 1998 gives you the right to request cancellation of the mortgage insurance (MI) premium that is added to your loan payments. If you do not request cancellation, the law also provides rules for automatic termination of MI. The law applies to mortgage loans on single family, primary residences originated on […]
How to calculate your debt ratios?
Something you will hear lenders and banks talk about as part of your application process is your Debt To Income Ratios. This is a critical part of the loan application and something lenders review to see if you can afford the new loan that you are applying for. Typically there are two different types […]
Pros and Cons of New Construction
How Does Your Escrow Account Work?
The way I like to put it is your escrow account is a side account that holds the funds for your future property tax and homeowners insurance bills. Every month that you make a monthly payment a portion of your monthly payment goes towards funds needed in your escrow account to take care of property […]
Can Overtime Be Used To Qualify For A Mortgage?
Adjustable Rate Mortgage
What is an Adjustable Rate Mortgage (ARM)? An Adjustable rate mortgage allows your interest rate and principal to remain the same for a certain number of years (typically 5 or 15). After the pre-determined time has passed the rate can go up or down based upon the market at the time if you do not refinance your […]