When choosing a good mortgage lender, whether you choose a mortgage broker or a mortgage banker, you’ll want someone who can do the job right. Finding a lender who will take the time to make sure you understand the different loan programs being offered, and will help you decide which loan best meets your needs is key to having a smooth closing. Check out the articles, columns, blog posts, radio shows and videos for more information about mortgage lenders.
Be Well Informed Before Shopping For Loan
Zero-down financing is becoming the new strategy for financing investment property. Several large wholesale lenders offer zero-down financing for investment properties. There are several important questions to ask a lender before getting zero-down financing for an investment property.
Buying A Home: Think Through Financing
Home buyers, particularly first-time buyers, who ignore the emotional quotient of a house deal, can end up feeling frustrated with the process and angry at the pace of the deal. Taking some time to think through the deal, including the financing part can help. Aside from thinking about financing when you're buying a home, you can plan out how you're going to cope to help keep frustration and anger in check.
PMI Changes At Closing
A home buyer received a good faith estimate including an estimated amount for the private mortgage insurance. At the closing, the PMI amount was different. By choosing a different type of loan or increasing your loan amount, they could have affected the amount of the monthly PMI payment. However, the home buyer could have avoided PMI all together with an 80/10/10 loan.
Option ARM Mortgages Lower First Payments
A first time home buyer is looking for a home worth 10 times their income. She was most likely approved for an Option ARM mortgage. An option ARM is an adjustable rate mortgage that starts out with an interest rate as low as 1 percent. The loan allows the borrower to pay an artificially low interest rate for the first five years, or until you owe 110 percent of the loan amount. An option ARM might be right for some people, but it's important for borrowers to understand all the terms of the mortgage loan.
100 Percent Investment Property Loans
Investing in real estate? When it comes to investment property, 100 percent financing has always been hard to get. These days the big guys still have access to lending sources and financing for their investment real estate purchases. However, if you are a new comer to real estate and are looking to finance investment property, you had better have money to put down. If you need help on how to find financing for an investment property, you won't be alone. As less lenders are willing to work with buyers and borrowers of investment real estate properties, buyers and borrowers of investment real estate properties are having a hard time. Seller financing may be an option for some investment properties, but having quite a bit of money to put down on the purchase will also help real estate investors.
Loan Approval Letter Versus Loan Commitment Letter
A loan approval letter will generally state that the borrower is approved for a loan and will fund on the loan upon satisfaction of certain conditions. A loan commitment letter will state that a lender commits to fund on a loan upon the satisfaction of certain conditions. Both of these types of letters are routinely used by lenders and most people involved in real estate closings will accept either type.
Choosing the Right Mortgage for Your Finances
The world is your oyster when it comes to picking a mortgage. There are all sorts of interesting and creating financing techniques that lenders are coming up with to cater to the booming real estate market. Mortgage companies are waking up to the fact that people have incomes that vary, and managing cash flow can be a very effective tool when it comes to a payment as big as a mortgage. Make sure you are picking the mortgage that best suits your financial needs.
Mortgage Loans: Pricing The Best Home Loan For You
Want to get a good mortgage loan? Be sure to shop around, compare prices, and negotiate with mortgage lenders to get the best mortgage loan for you. Just remember, the best loan for you may not be the cheapest loan you’re offered by the mortgage lender.