Published rates entice you, but may not give you the whole story: Often times we get asked, “I saw this rate on-line, can you match it?” Generally, we can, or can beat it, but you have to make sure you are comparing apples to apples. There are many factors that go into an interest rate....
Tag: Lender
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ALWAYS OBTAIN A PAYOFF STATEMENT
If you have a loan and are looking to pay it off, make sure you obtain the payoff statement. The statement is a document provided by the lender which contains the final amount to be paid to release their lien. It contains the principal balance, interest up to the date of closing, penalties (if...
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WHAT ARE THE ADVANTAGES OF WORKING WITH A MORTGAGE BROKER?
One advantage of working with a mortgage broker instead of a banker is the lender credit. The lender credit is a credit towards closing costs. This credit represents the excess premium from the lender after paying the broker’s commission. Brokers get paid a fixed percentage of the loan amount from the lender for each transaction....
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HAVE YOU PRE-QUALIFIED FOR A LOAN?
In order to put an offer on a home, you will likely have to present a letter stating you are pre-qualified for the loan. What do you need to do to get pre-qualified? The first step is to complete a loan application; the application will give the loan originator the information they need...
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ARE YOU REALLY GETTING THE BEST RATE AND COST?
Many real estate companies partner with preferred lenders and encourage their agents to provide their clients with the names of these lenders to handle the financing of their purchase. What the buyer does not know is that in some circumstances there is a business agreement between the lender and real estate company creating this preferred status....
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THE LOAN ESTIMATE
The Loan Estimate (“LE”) is a document provided to you by the lender within 3 days of the application date. The application date is the date when the following have been provided to the lender:
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WHAT IS THE DIFFERENCE?
Pre-qualification v. pre-approval, what is the difference? A pre-qualification is based on information provided to the loan originator. The information could be as simple as a conversation about your income, assets, and debts, to providing the supporting documentation. A pre-approval is where an underwriter reviews your file, including the loan application, credit report, income and...
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CHECK YOUR CREDIT REPORT IN ADVANCE
Are you considering buying a home? It may be worthwhile to review your credit report beforehand. To check your credit for free go to: www.annualcreditreport.com Many sites promise free credit reports, but this website is the only official site authorized by Federal law; It is sponsored by Experian, TransUnion, and Equifax. You are allowed to...
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HOMEOWNERS ASSOCIATIONS AND LENDING
Did you know when you apply for a loan there are actually 2 approvals that take place? The lender reviews the file based on your credit and income, and also reviews the collateral. The collateral must be sufficient in order for a loan to be approved. When the collateral is a condominium, there is increased...
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DODD-FRANK ACT
The Dodd-Frank Act includes a provision that a borrower must show an ability-to-repay a mortgage to qualify. It seems silly that a law had to be passed with this provision in it as you would think someone would not make a loan unless they knew it was going to be paid back. Nevertheless, this law...