Maintain A Home’s Value With These Helpful Home Maintenance Tips

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A home is an investment, so it is important to treat it as such. The best time to capitalize on a home's value is when it is sold. Therefore, it is important to take care of it with some simple home maintenance tips. There is a common misconception that if something is working well, it does not need to be fixed; however, it is always better to prevent problems from happening than to fix them after they have appeared. The average homeowner should spend between one and four percent of a home’s value per year to keep it in excellent…
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Does Shopping Around for A Mortgage Pre-Approval Hurt Your Credit Rating?

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Smart homebuyers know that mortgage rates and terms can vary widely among lenders. While your credit score and history will influence what rates and terms you’re offered, there’s a wide range of flexibility, which means shopping around for a pre-approval makes sense. At the same time, it’s important to minimize credit inquiries to protect your credit rating. What is Mortgage Pre-Approval? Mortgage pre-approval is often mistaken for mortgage pre-qualification. Pre-qualification is a process whereby the borrower personally submits their financial information to the lender. Pre-approval is the process whereby the lender does their own vetting regarding the income, debt and…
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Understanding The Differences Between Conforming Loans And Jumbo Loans

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Potential homeowners need to understand the different types of loans available. This is a major financial decision, and it is important to evaluate the benefits and drawbacks of each option. The majority of home loans fall into two categories. The first is called a conforming loan and the second is called a jumbo loan. There are a few significant differences between them. How Is The Size Of A Home Loan Determined? First, it is important to understand how the size of a home loan is determined. Homebuyers usually need to put money down before they will be granted a home…
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An Overview Of Mortgage Points

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There is a lot of terminologies involved in the mortgage application process, and one common term people come across is a mortgage point. What exactly is a mortgage point, and how might impact the price of the loan? What Is A Point? Points represent fees due at signing. Some lenders charge points while others do not. In some cases, applicants are given the option to pay points in exchange for a rate reduction. A single point is the equivalent of one percent of the loan's value. If the home loan is $200,000, then a single point is $2,000. Origination Points…
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Do You Need Mortgage Insurance Even If It’s Not Required By Your Lender? Let’s Take A Look

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Finding a proper mortgage loan and understanding the processing procedures behind the loan is the basis of good research. The down payment on a mortgage loan is typically significant when dealing with mortgage insurance. Most loan applications with less than 20% down payment are required to include mortgage insurance with the loan. However, mortgage insurance may still be required even if it's not typically required by your lender. Underwriting Requirements Most home mortgage applications undergo a strict set of standards for approval. These standards are known as underwriting and make up the bulk of time spent on a mortgage application.…
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How Long To Save Mortgage Documents

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Purchasing a house involves a tremendous amount of paperwork. There is even more paperwork involved if the buyer goes through a lender. With so much paperwork, some homeowners might be wondering how long they have to keep all of these documents. Ideally, homeowners should keep these documents for the life of the loan, but there are a few other points to consider.  What Documents Come With The Home? Even though the exact documents that come with the home can vary depending on the type of purchase, there are a few common pieces of paper. The deed is one of the…
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Housing Needs May Change Following Retirement

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Life has changed for a lot of people during the past few years. Some people reached retirement age while other people decided to retire early due to other reasons. As the baby boomer generation reaches retirement age, millions more people are going to retire during the next few years. As a result, they might be thinking about moving to make some of their dreams come true. At the same time, retirement might change what people need in a home. What are some of the most important factors retirees need to consider when looking for a home?  Moving Closer To Loved…
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An Overview Of A Deed Of Reconveyance

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When someone purchases a house, they might have to take out a loan. Because a house is expensive, most people end up with a mortgage. Some people decide to go with a 15-year mortgage while other people decide to go with a 30-year mortgage. Eventually, after all these years, someone might receive a deed of reconveyance. What does this mean, and how does it work?  Homeowners Own The House, But With a Lien After purchasing a house, homeowners legally own the house, even if they have financing tied to a mortgage. Even if someone purchases a home with only 3.5…
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Qualifying For A Mortgage Credit Certificate

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Purchasing a house can be expensive, but there are measures in place to make it easier, particularly for people buying a home for the first time. One option is a mortgage credit certificate. What is the certificate, and how does it work? A Mortgage Certificate Is A Tax Credit A mortgage credit certificate, usually shortened to MCC, is a credit issued to first-time homebuyers by the local or state government. This certificate allows first-time homeowners to claim a federal tax credit for mortgage interest paid on the loan, with a limit of up to $2,000. When someone takes out a…
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What Is A High Enough Credit Score For A Mortgage?

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There are many people who are interested in purchasing a home for the first time. Even though many first-time homeowners are interested in the sticker price of a home, it is just as important to consider credit scores. Anyone who requires financing to purchase a home will have to go through a credit check. What credit score is considered high enough for a home loan? What do people have to do if they want to increase their credit scores? What Credit Bureaus Do Lenders Use? First, a credit score is a reflection of someone's overall financial health. A lender wants to…
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