A mortgage broker is aN agent who acts as an intermediary between a prospective borrower and the lending institutions they represent sent.
They normally represent not just one but several lenders as they intend to provide the borrowers with many products. The more products open to the borrower the more likely he will find a product tailored for him. At times, the number of lenders they represent may go into the hundreds and hence, more likely to find a have a product in place to satisfy the borrowers taste. This increases their ability to locate a loan customized for you. This is a great benefit
Another benefit of a mortgage broker is that they serve those with both good and bad credit. They are interested in getting all business that come their way and hence are prepared to service those with damaged credit. This is of great benefit as those with damaged credits tend to be shunned by traditional lenders.
Because a mortgage broker has loads of lenders he represents, you most certain of getting the best credit terms available. If you were to deal with a lender, you will have to do with the best credit terms their institution provides. On the other hand, if you deal with a mortgage broker, you receive the best credit terms from hundreds of institutions.
Also mortgage brokers take their clients super-seriously even ready to visit them in their homes. They, unlike the mortgage lenders and banks have to scout harder for business and hence will do go to any length to please the clients. This can have huge benefits for a satisfied client will bring in referrals. A satisfied client is perhaps the cheapest form of advertising available.
From the above, it is obvious that the fees charged by a mortgage broker are easily offset by the savings received if one had decided to approach a mortgage lender instead
However, before choosing a mortgage broker, scout for a good one. Make enquiries from friends and family and workmates. Search the internet. There are some greedy ones out there. And do not pay more than one and a half percent as fees. Anything higher is predatory.
Here is wishing you the best when using the services of a mortgage broker.
PS
Discover How To Eliminate 50% of Your Mortgage Interest Today!Click Here!
Monday, May 7, 2007
An ideal mortgage service for retirees
The mortgage service or product I am discussing here is the reverse mortgage.
A reverse mortgages is a mortgage policy primarily targeted to senior citizens- that is those after 60’s.
The mortgage policy works as an investment vessel enabling home owners to use part (not all) of the equity existing in their homes for investment tax free.
The beauty of this scheme is that the investor does not lose the title to his home. Also he is not burdened to make new monthly mortgage payments. This product will improve the level of investments in the country.
To access the reverse mortgage program, you have to be 62 years of age so most people do not qualify.
The reason why is targeted to those over 62years is that is primarily aimed for those who have paid off the mortgages on their homes. Many of these individuals fall into this category. In the event that the intending user still a mortgage on his home, his first mortgage must be paid off with the mortgage he has just received.
It is used for investment purposes and not to offset debts and that is why the income earned is tax –free. No tax whatever is paid.
Payments can be paid monthly or as a line of credit. It can also be disbursed as a lump sum.
Other things to be aware of is that upon death, those that inherit have to either pay off the mortgage in order to have title to the house or sell the property to offset the mortgage.
Repayment amounts can also not exceed the value of the home.
The services of a lawyer or money manager who is familiar with the facility should be consulted before acquiring this facility.
Facility is open only to owner occupiers only and extended to the home in which the beneficiaries are dwelling.
I hope you found the above article educative. If you are seeking a means to genuine means to slash mortgage payment by 50%, please click here.
PS
Discover How To Eliminate 50% of Your Mortgage Interest Today!Click Here!
A reverse mortgages is a mortgage policy primarily targeted to senior citizens- that is those after 60’s.
The mortgage policy works as an investment vessel enabling home owners to use part (not all) of the equity existing in their homes for investment tax free.
The beauty of this scheme is that the investor does not lose the title to his home. Also he is not burdened to make new monthly mortgage payments. This product will improve the level of investments in the country.
To access the reverse mortgage program, you have to be 62 years of age so most people do not qualify.
The reason why is targeted to those over 62years is that is primarily aimed for those who have paid off the mortgages on their homes. Many of these individuals fall into this category. In the event that the intending user still a mortgage on his home, his first mortgage must be paid off with the mortgage he has just received.
It is used for investment purposes and not to offset debts and that is why the income earned is tax –free. No tax whatever is paid.
Payments can be paid monthly or as a line of credit. It can also be disbursed as a lump sum.
Other things to be aware of is that upon death, those that inherit have to either pay off the mortgage in order to have title to the house or sell the property to offset the mortgage.
Repayment amounts can also not exceed the value of the home.
The services of a lawyer or money manager who is familiar with the facility should be consulted before acquiring this facility.
Facility is open only to owner occupiers only and extended to the home in which the beneficiaries are dwelling.
I hope you found the above article educative. If you are seeking a means to genuine means to slash mortgage payment by 50%, please click here.
PS
Discover How To Eliminate 50% of Your Mortgage Interest Today!Click Here!
Shylock Mortgage Lenders- What They Hide From You
A greedy mortgage broker knows that a home is one of the three basic necessities and it is therefore everyone’s desire to own his or her own home including you. It is this desire they exploit believing you will be gullible. This article is written to protect you.
One act you must avoid making is accepting an ARM loan simply because you are persuaded to do so.
The reason why is that lenders have a preference for ARM over fixed rate mortgages as it enables them to lend out higher sums. Of course, the higher the amounts lent, the higher the profits you make.
There exists another danger. The low rates offered at most times are introductory- they are sweeteners simply to entice the borrower- you- to grab the offer. We regularly see adverts with low ball rates advertised on the Net. The brokers know this.
Unfortunately for the borrower, the mortgage lender is bound to increase the rates to their true levels within two years leaving your purse leaner than expected. This is plain deception. Do not therefore fall for it. Even if it is not the mortgage lenders desire to increase rates, the Fed may do this for them whenever they decide to tighten monetary policy.
To avoid being fleeced, it is best you go for a fixed rate mortgage where the risk are determinable and in the long run, very beneficial.
Also, ensure you negotiate the fees of the mortgage broker. Many mortgage brokers accept 1% or half a percent more. There is no reason why you should pay much more for his service. If he refuses to reduce his fees, you can go elsewhere. It is best you make you view on this matter clear from the start.
Thirdly it is not compulsory you pay PMI. It is another deceptive act. Not paying this will save you a small but sizable amount especially if you intend top own several houses.
If you apply the above situation when buying a home, you will definitely save yourself a lot of money. Ensure you work hard on finding a reputable mortgage broker.
PS
Discover How To Eliminate 50% of Your Mortgage Interest Today!Click Here!
One act you must avoid making is accepting an ARM loan simply because you are persuaded to do so.
The reason why is that lenders have a preference for ARM over fixed rate mortgages as it enables them to lend out higher sums. Of course, the higher the amounts lent, the higher the profits you make.
There exists another danger. The low rates offered at most times are introductory- they are sweeteners simply to entice the borrower- you- to grab the offer. We regularly see adverts with low ball rates advertised on the Net. The brokers know this.
Unfortunately for the borrower, the mortgage lender is bound to increase the rates to their true levels within two years leaving your purse leaner than expected. This is plain deception. Do not therefore fall for it. Even if it is not the mortgage lenders desire to increase rates, the Fed may do this for them whenever they decide to tighten monetary policy.
To avoid being fleeced, it is best you go for a fixed rate mortgage where the risk are determinable and in the long run, very beneficial.
Also, ensure you negotiate the fees of the mortgage broker. Many mortgage brokers accept 1% or half a percent more. There is no reason why you should pay much more for his service. If he refuses to reduce his fees, you can go elsewhere. It is best you make you view on this matter clear from the start.
Thirdly it is not compulsory you pay PMI. It is another deceptive act. Not paying this will save you a small but sizable amount especially if you intend top own several houses.
If you apply the above situation when buying a home, you will definitely save yourself a lot of money. Ensure you work hard on finding a reputable mortgage broker.
PS
Discover How To Eliminate 50% of Your Mortgage Interest Today!Click Here!
Things to Factor In When Taking a Mortgage Loan
Taking out a mortgage is task that should be taken very seriously as there could be hidden costs in any product extended to you.
First of all, it is wise you conduct a thorough search in order to locate the mortgage loan best suited for you.
There are several types of mortgage loans. There are loans that have fixed rates that are guaranteed throughout the duration of the loan. There are those which are interest free and hence costlier and the duration may be upwards of 30years or more. And there still exist many more mortgage products to which your mortgage broker or lender can advise you about.
Make sure you can afford the monthly payments on the prospective mortgage in the event of any unforeseen occurrences. It has been noted that many home owners are only a month away from foreclosure i.e. assuming the borrowers lose their jobs or mortgage rates or a rate hike
It is wise therefore you allow yourself some financial breathing room i.e. ensure there is room to accommodate increased monthly payments in the event of a rate hike.
It is wise you read between the lines when accepting any product. Ensure that the rates given and closing costs are what you desire. Do not accept what you can not afford. It is better to let it pass than for your property to be foreclosed.
Do note that a careful obscured 0.5% yearly can amount to thousands of dollars which you may not be prepared for.
Once satisfied with the above, you can then proceed with your mortgage application
PS
Discover How To Eliminate 50% of Your Mortgage Interest Today!Click Here!
First of all, it is wise you conduct a thorough search in order to locate the mortgage loan best suited for you.
There are several types of mortgage loans. There are loans that have fixed rates that are guaranteed throughout the duration of the loan. There are those which are interest free and hence costlier and the duration may be upwards of 30years or more. And there still exist many more mortgage products to which your mortgage broker or lender can advise you about.
Make sure you can afford the monthly payments on the prospective mortgage in the event of any unforeseen occurrences. It has been noted that many home owners are only a month away from foreclosure i.e. assuming the borrowers lose their jobs or mortgage rates or a rate hike
It is wise therefore you allow yourself some financial breathing room i.e. ensure there is room to accommodate increased monthly payments in the event of a rate hike.
It is wise you read between the lines when accepting any product. Ensure that the rates given and closing costs are what you desire. Do not accept what you can not afford. It is better to let it pass than for your property to be foreclosed.
Do note that a careful obscured 0.5% yearly can amount to thousands of dollars which you may not be prepared for.
Once satisfied with the above, you can then proceed with your mortgage application
PS
Discover How To Eliminate 50% of Your Mortgage Interest Today!Click Here!
Saturday, April 28, 2007
How to Get Low Mortgage Rates
Getting a low mortgage rates is the desire of every borrower as it reduces the cost of servicing the mortgage.
However, mortgage lenders are into business to maximize profit. Hence, it is best that the borrower scouts for the mortgage lender that can provide the lowest rates.
But there are other measures the borrower can take.
The lowest mortgage rates in the market today are those using a secured home loans and this loan is guaranteed if these rules are followed
The primary reason why rates are low for this type of mortgage is that the borrowers assets are used as collateral to secure the loan.
Since there exist stronger financial guarantees in place than in a typical mortgage, the lender feels secure providing preferential interest terms.
And better still, since there exist collateral, a larger loan amounts are extended to the prospective borrowers.
This loan is mostly available to those whose credit rating is sound and can provide the necessary assets to be used as collateral.
The preferred asset normally used as security is normally a home owned by the prospective borrower.
This type of mortgage facility will be most beneficial to real estate investors, especially those who own multiple homes whose values have appreciated.
They have the benefit of enjoying much higher profits from the lower mortgage rates that is provided through the secured home loans
So whether you are purchasing a home for yourself or for investment, do avail yourself of this opportunity to have what is perhaps the lowest mortgage rates!
PS
Discover How To Eliminate 50% of Your Mortgage Interest Today!Click Here!
However, mortgage lenders are into business to maximize profit. Hence, it is best that the borrower scouts for the mortgage lender that can provide the lowest rates.
But there are other measures the borrower can take.
The lowest mortgage rates in the market today are those using a secured home loans and this loan is guaranteed if these rules are followed
The primary reason why rates are low for this type of mortgage is that the borrowers assets are used as collateral to secure the loan.
Since there exist stronger financial guarantees in place than in a typical mortgage, the lender feels secure providing preferential interest terms.
And better still, since there exist collateral, a larger loan amounts are extended to the prospective borrowers.
This loan is mostly available to those whose credit rating is sound and can provide the necessary assets to be used as collateral.
The preferred asset normally used as security is normally a home owned by the prospective borrower.
This type of mortgage facility will be most beneficial to real estate investors, especially those who own multiple homes whose values have appreciated.
They have the benefit of enjoying much higher profits from the lower mortgage rates that is provided through the secured home loans
So whether you are purchasing a home for yourself or for investment, do avail yourself of this opportunity to have what is perhaps the lowest mortgage rates!
PS
Discover How To Eliminate 50% of Your Mortgage Interest Today!Click Here!
The Mortgage Services of An Appraiser To The Lender-How beneficial?
Your bank or mortgage lender needs the important mortgage service provided by an appraiser and this article explains why.
Appraisals are a necessity when buying a home in order not to pay above the actual market value. It is an important mortgage service
\
Some may think their saving themselves some cost by avoiding their services but this is not the case.
You may actually pay above the market value and this overpayment will in most instances be far above what ever the appraiser will have charge. Penny wise, pound foolish.
Thankfully however, most lenders demand that homes must be appraised before loans can be granted. This is good. So most times, overpaying is avoided.
Once your intended home as been appraised, this will assist the lenders in a long way in deciding whether to lend or not.
If the house is appraised above your intended purchase price, this is great. Perhaps you can flip once payment is made!
But what if the appraised value is lower than the intended amount? Your lender will not extend funds at this stage and it is only wise.
If in the event of a foreclosure, the lenders losses will steep as the property will overvalued already when purchased. This is where the value of the mortgage service performed by the appraiser is then cherished.
You will have to negotiate a reduction in price with the seller. If the seller agrees to a lowering of the price, then that is great.
In a situation where the seller sticks to his guns, and we know it does happen you might have to seek alternatives.
PS
Discover How To Eliminate 50% of Your Mortgage Interest Today!Click Here!
Appraisals are a necessity when buying a home in order not to pay above the actual market value. It is an important mortgage service
\
Some may think their saving themselves some cost by avoiding their services but this is not the case.
You may actually pay above the market value and this overpayment will in most instances be far above what ever the appraiser will have charge. Penny wise, pound foolish.
Thankfully however, most lenders demand that homes must be appraised before loans can be granted. This is good. So most times, overpaying is avoided.
Once your intended home as been appraised, this will assist the lenders in a long way in deciding whether to lend or not.
If the house is appraised above your intended purchase price, this is great. Perhaps you can flip once payment is made!
But what if the appraised value is lower than the intended amount? Your lender will not extend funds at this stage and it is only wise.
If in the event of a foreclosure, the lenders losses will steep as the property will overvalued already when purchased. This is where the value of the mortgage service performed by the appraiser is then cherished.
You will have to negotiate a reduction in price with the seller. If the seller agrees to a lowering of the price, then that is great.
In a situation where the seller sticks to his guns, and we know it does happen you might have to seek alternatives.
PS
Discover How To Eliminate 50% of Your Mortgage Interest Today!Click Here!
The Best Mortgage Policy If Your Credit Is In Bad Shape
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The Best Mortgage Policy If Your Credit is in Bad Shape
May we never enter into this situation. Unfortunately some of us are and what is therefore the best mortgage policy to take at this stage.
You can approach your financial institutions. Most have financial products for those with damaged credit. And interestingly, the interest rates may only be slightly higher.
Do note however that you may not qualify if they consider your credit as being too damaged. It is a risk one faces.
But there are still options open.
Fortunately, the two government mortgage sisters, Freddie Mac and Fannie Mae offer products targeted to sub-prime borrowers
which is tyhe category those with damaged credit fall under. You will have to subscribe for this service through a traditional lender. They will readily assist.
What if you still don't qualify.
There are still option in the form of sub-prime lenders whose specialty as already mentioned is lending to those with damaged credits.
You may however have problems coming up with the required downpayment needed to obtain a loan.
Fortunately there are sub-prime lenders who provide with no down payments. This is great in such instances. Note however that
you will be prepared to pay a higher level of interest due to the riskier nature of the loan.
Your prayer is that you should not be tied to this high interest regime forever.
When searching for a sub-prime lender carry out a thorough search and compare rates. Do not just accept anything thrown to you simply because you desire a home and your credit is bad.
You can conduct a thorough search using Google. You can also enquire from friends and family especially those with damaged credit. Endeavor you do not get ripped off.
At present, this is the best mortgage options available to those with bad or damaged credit.
Once your credit problems have been sorted out and your financial situation improved, one can seek out a typical mortgage at preferential terms that saves one a lot of money.
With the above steps, you will be on your way to having some of the best mortgage opportunities available to you.
PS
Discover How To Eliminate 50% of Your Mortgage Interest Today!Click Here!
The Best Mortgage Policy If Your Credit is in Bad Shape
May we never enter into this situation. Unfortunately some of us are and what is therefore the best mortgage policy to take at this stage.
You can approach your financial institutions. Most have financial products for those with damaged credit. And interestingly, the interest rates may only be slightly higher.
Do note however that you may not qualify if they consider your credit as being too damaged. It is a risk one faces.
But there are still options open.
Fortunately, the two government mortgage sisters, Freddie Mac and Fannie Mae offer products targeted to sub-prime borrowers
which is tyhe category those with damaged credit fall under. You will have to subscribe for this service through a traditional lender. They will readily assist.
What if you still don't qualify.
There are still option in the form of sub-prime lenders whose specialty as already mentioned is lending to those with damaged credits.
You may however have problems coming up with the required downpayment needed to obtain a loan.
Fortunately there are sub-prime lenders who provide with no down payments. This is great in such instances. Note however that
you will be prepared to pay a higher level of interest due to the riskier nature of the loan.
Your prayer is that you should not be tied to this high interest regime forever.
When searching for a sub-prime lender carry out a thorough search and compare rates. Do not just accept anything thrown to you simply because you desire a home and your credit is bad.
You can conduct a thorough search using Google. You can also enquire from friends and family especially those with damaged credit. Endeavor you do not get ripped off.
At present, this is the best mortgage options available to those with bad or damaged credit.
Once your credit problems have been sorted out and your financial situation improved, one can seek out a typical mortgage at preferential terms that saves one a lot of money.
With the above steps, you will be on your way to having some of the best mortgage opportunities available to you.
PS
Discover How To Eliminate 50% of Your Mortgage Interest Today!Click Here!
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