Category: Mortgage Planning

WHY BORROW MONEY AT HIGHER RATES AND COSTS?

  Why do many people continue to borrow mortgage loans at higher rates and costs? Because, they do not consult with a mortgage broker. Mortgage brokers work with lenders in the wholesale marketplace and pass on these rates and costs to their customers. Further, mortgage brokers’ compensation is legislated to not exceed 3% of the amount financed, including the wholesale lender’s fees, and is disclosed on every transaction. Mortgage banks, and banks, do not have this restriction. They can make as much as they want on any loan and do not have to disclose it. Why does this matter? Because...

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ARE YOU WILLING TO TAKE THE PLUNGE?

  In spite of low home inventory, many prospective homebuyers are still willing to take the plunge and purchase a new home, or a first home.  Interest rates have remained low and homebuyers want to take advantage of current rates even though market prices continue to rise. You may ask yourself if it’s a good or bad time to buy? Check out this article https://www.barrons.com/articles/good-bad-time-to-buy-a-home-51623165996 We offer a variety of products and services, ask us how we can assist you today. Counsel Mortgage Group®, LLC www.counselmortgage.com 480-502-1000 NMLS #178927 AZ MB #0909580 CA DBO #60DBO43873 Copyright © 2021 Counsel Mortgage...

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IS IT STILL A GOOD TIME TO BUY OR REFINANCE A HOME?

“Is now a good time for buying or refinancing a home?”, continues to be one of the most frequently asked questions we hear. When should you start planning for your mortgage? The answer is as soon as you think you will be buying or refinancing a home. Mortgage planning includes analyzing your credit and income for qualification.  What about cryptocurrency?  Can crypto be included as income? The reason why you should begin planning as soon as possible is that it may take time to qualify. A review of your credit may turn up derogatory items that may take months to...

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HERE IS ONE STORY ON HOW SOMEONE PURCHASED A HOME WITH A MORTGAGE AND CRYPTOCURRENCY

Are you considering getting a mortgage and purchasing a home with cryptocurrency? Contact us at Counsel Mortgage Group.  We can discuss any questions you may have about getting a mortgage and purchasing a home with cryptocurrency.  We offer a variety of products and services, ask us how we can assist you today. Check out this article about using crypto to purchase homes https://on.mktw.net/3e8VdcZ Counsel Mortgage Group®, LLC www.counselmortgage.com 480-502-1000 NMLS #178927 AZ MB #0909580 CA DBO #60DBO43873   Copyright © 2021 Counsel Mortgage Group®, LLC.

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HOW DOES DELAYED FINANCING WORK

How does delayed financing work? What are the benefits of delayed financing? Here’s a great scenario to demonstrate the benefits of delayed financing. Delayed financing may be beneficial if  you are trying to purchase a home with competing offers. You can pay cash for the home, but don’t want to, and would rather finance the home; however, if you presented an offer with financing, you may get beat out for the home. Delayed financing allows you to pay cash for the home, and then take the cash out with a refinance within 6 months of closing. This is an exception...

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GROUP INVESTMENTS

GROUP INVESTMENTS

You want to purchase rental homes but do not have enough money saved or enough income to afford one, so, you talk to your friend who is also thinking about investing. Can you get financing if you purchase rental homes together? Or, you are part of an investment group looking to purchase rental homes. Can the investment group get financing? Yes, you can. First, each of the investors must complete a loan application to qualify for conventional financing. For example, if you and 4 friends are looking to purchase a rental home, all 5 must complete a loan application. The...

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HALF-YEAR REPORT – MONEY IS CHEAP

This has been an unprecedented first half of the year. An international pandemic, high unemployment, closing of businesses, and a Fed Funds rate near zero. Notwithstanding these global and economic calamities, loans are being made. Rates are the lowest they’ve been and money is cheap. It is a great time to buy and borrow. Programs interrupted due to the pandemic are returning to the market, such as jumbo loans. With rates this low, there is not much reason to put a lot of cash into a home. It’s likely your investment portfolio performs at a higher rate of return than...

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THE IN BETWEEN SELLING AND BUYING

We have received several phone calls from customers lately who own their home free and clear and are looking to purchase a new home. Ideally, they would like to sell their home first and buy the new home with the proceeds from the sale. However, it may be hard to get an offer accepted that is contingent on the sale of their current home. So, they are left with trying to figure out how to get the cash out of their current home before it sells so they can make a non-contingent offer on the new home. Here are some options:...

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BUYING DOWN RATES

Let’s say you are looking to buy a $350,000 home with 20% down for a loan amount of $280,000. You want a 30-year fixed mortgage, and assume the rate is 4.25%; the principal and interest payment would be $1,377.43. If you paid a point, assume the rate would be 3.875% and the payment is $1,316.66. Does it make sense to buy down the rate? The first step is to determine how much it costs. One point is equal to 1% of the loan amount, which is $2,800 in this case. The next step is to determine how much you will...

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ARE YOU LOOKING TO PURCHASE A SMALL BUSINESS OR AN INVESTMENT PROPERTY?

There are SBA and commercial loans available for financing; however, you may want to consider a residential loan. How can you use a residential loan to finance a business? And, why would you? Business loans tend to have higher rates and costs than residential loans, and may be adjustable. The residential loan can be fixed. For instance, if you have equity in your home, or other residential properties, you could refinance and take cash out of one of these properties to purchase the business or investment. The lien would be on your residential property, but the loan terms may be...

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