10 Questions To Ask Your Mortgage Lender

10 Questions To Ask Your Mortgage Lender

  Getting ready to buy a home? Make sure you ask these 10 key questions when you submit your mortgage application:   1. What is the interest rate on this mortgage? Ask for the lender’s loan estimate, which breaks down the interest rate and fees. It will include the annual percentage rate (APR), which accounts for the interest rate, points, fees and other charges you will pay for a mortgage.   2. How many discount and origination points will I pay? Lenders may charge discount points, origination points or both. One point is equal to 1% of the loan amount....Read more
FHA Tightens Eligibility Requirements

FHA Tightens Eligibility Requirements

  It just got a little harder to get an FHA loan as the Federal Housing Administration tightens eligibility requirements.   FHA mortgages account for nearly 1 in 4 mortgage loans nationwide.  FHA loans are attractive to borrowers for the low 3.5% down payment, and attractive to lenders as payment is insured by the Federal Housing Administration. But borrowers are finding it more difficult to qualify for an FHA loan after the Federal Housing Administration recently changed its mortgage guidelines, affecting how lenders underwrite and approve FHA-insured loans.  In particular, the FHA has tightened its income verification for self-employed and...Read more
Buy Your Home With Only 1% Down

Buy Your Home With Only 1% Down

  In an effort to provide as many options as possible to potential homeowners, Quicken Loans has collaborated with Freddie Mac to provide a purchase mortgage loan that only requires a 1% down payment.   Here is yet another example of why you should shop around to find the best mortgage loan to suit your financial situation.  Mega banks such as Bank of America and JPMorgan Chase have only recently been able to offer loans with a 3% down payment.  Quicken Loans’ 1% down mortgage is 66% lower.   The program was spawned out of the partnership between Quicken and Freddie...Read more
New Mortgage Servicing Rule Results in Victory For Homeowner

New Mortgage Servicing Rule Results in Victory For Homeowner

  The Dodd-Frank Act is proving to be a ally for homeowners and giving individuals a voice against big banks. New mortgage servicing rules took effect in 2014, implementing provisions of the Dodd-Frank Act, which impose significant obligations on mortgage servicers, including the obligation to conduct reasonable investigation upon receipt of a notice of error, and to respond to the notice within certain time frames and with certain information.  In May of 2016, the 11th Circuit United States Court of Appeals addressed the new mortgage servicing rules in a case between a homeowner and a mortgage servicer. In this case,...Read more
California Mortgage Programs & Downpayment Assistance

California Mortgage Programs & Downpayment Assistance

Looking for a California Mortgage Program?  Learn about CalHFA Mortgage Programs and Downpayment Assistance. California has some really impressive programs to make the purchase of a home more approachable for working class families.  The California Housing Finance Agency, or CalHFA, is one of the premier agencies providing assistance for first-time homebuyers. What is CalHFA? The California Housing Finance agency was established in 1975 as the State’s affordable housing bank to make low interest loans through the sale of tax-exempt bonds.  CalHFA is a completely self-supporting State agency, and its bonds are repaid by revenues generated through mortgage loans, not taxpayer dollars. ...Read more
How to Get A Home Loan

How to Get A Home Loan

Not all lenders are created equal! Find out how to secure the best home loan to fit your needs. If you are thinking about buying a new home, one of the first steps is to establish your price range.  The best way to determine your home buying power is to speak with a lender or mortgage banker/broker.  S/he will ask you for information to determine your debt to income ratio (DTI).  You will need to provide tax returns, W2s, pay stubs, and bank statements, and they will also need to obtain your credit score.  There are usually no up-front fees...Read more