Second Mortgages can be used to avoid having to pay PMI; by keeping your 1st Mortgage’s LTV under 80% and financing the balance on a 2nd Mortgage. It can also be used to consolidate debt with out having to refinance the 1st Mortgage or as a Line of Credit for potential future [...]
Adjustable rates are rates that change at pre-specified points based on changes in the market index. Adjustable rates are scary to some people mostly because they don’t understand them. An adjustable rate will have a fixed period and then change at a pre-specified point during the term of the loan. The shorter the fixed period [...]
A fixed interest rate loan is locked in before a closing and is set when the loan documents are signed. The interest rate on a fixed rate loan remains the same through the entire term of the loan and will not change when market indexes or other interest rates fluctuate. Fixed rate terms are generally [...]
Length of time since credit has been established: A brand new credit line (even with zero balance) will negatively affect your score. Because of the short length of time the account has been established, and the fact that a credit inquiry will be reported when opening a new account, you should [...]
Is refinancing the best way to go for you?
Believe it or not, there may be times when you can get a lower interest rate and even a lower monthly payment, but financially it would be wiser in the over all picture to decline re-financing. Here’s an example: You plan on selling your [...]
Why are Credit Scores so important?
Credit Scores: Since the underwriter of the loan will never meet you, the only representation of your financial character is your credit score. Therefore the most important factor in mortgage shopping is your credit score. A good or bad credit score will dictate the difference [...]
How do they determine my interest rate?
Mortgage rates are primarily affected by the stock market, the 10 year Note more specifically. When the 10 year note goes up the rates go up. You can track this in your local paper or financial channel on television. Rates go up and down everyday and [...]
The moment you find yourself in debt and falling behind, when you feel like your financial life has no positive future in store; Don’t wait, do something about it now. It is not an easy task to regain footing after this, especially if you have just enough to pay minimum payments or [...]