Home Mortgage Tips Archives – Page 93 of 158 – Fred Gruber

01

Sep

Home Mortgage Tips

Are You Ready to Refinance Your Mortgage? Learn How to Do a Quick Refinancing Self-Assessment

Are You Ready to Refinance Your Mortgage? Learn How to Do a Quick Refinancing Self-Assessment Whether you’ve decided to renovate your home or you would like to consolidate your debt, refinancing your mortgage can be an option in times of money trouble; however, it’s important to know whether or not this is the right step for you. If you’ve been considering refinancing recently and are wondering how to come to a decision, here are some questions you should ask yourself before wading into the water.

Do You Have The Extra Time?

It may sound silly, but looking into the details of financing your mortgage can take up a lot of time, and if it’s going to be stressful or tax your abilities too much, you may want to hold off until things change. Because there are so many details associated with refinancing, and the security of your largest investment hangs in the balance, it’s important to have the time to research and understand all the small stuff so you don’t fall victim to a bad loan or confusing mortgage terms.

What’s My Interest Rate?

It’s entirely possible that refinancing may not be worth it if you can’t get the interest rate you’re expecting, so don’t be taken in by low rates you may have come across. Because many unreliable lenders will offer the lowest rate to get your business, it’s a good idea to do the research and go with someone you can trust. Your credit score and financial standing will have a lot to do with the rate you qualify for, but if the interest isn’t as low as you’ve calculated, it may not be a beneficial financial decision in the end.

Will This Help My Financial Situation?

No one decides to move forward with a mortgage refinancing without thinking that it’s a good financial decision, and that’s why it’s so important to carefully weigh all of the variables before deciding refinancing is for you. From a job loss to a home relocation, there are many things that come up in life that we are not always financially prepared for, so make sure to consider as many possible pros and cons as you can before moving forward with this option.

Many people think that refinancing their mortgage will improve their financial situation and eliminate their debt, but it’s important to consider all of the outcomes of this choice before coming to any final decision. If you’re currently considering refinancing, you contact your local mortgage professional for more information.

31

Aug

By support

Home Mortgage Tips

The Pros and Cons of Borrowing the Down Payment for Your Next Home

The Pros and Cons of Borrowing the Down Payment for Your Next Home With the rising cost of real estate, many people feel that now is a good time to buy a home to ensure a good financial future. However, if you haven’t saved up enough money to make a down payment, it’s possible you may be considering whether or not you should borrow the funds. If you’re considering a loan from friends or family, here are some points you may want to think about before asking for a loan.

Getting Out Of The Rental Market

With even the rental market seeing huge increases in its rental rates, buying a home can be an even more beneficial purchase then ever. While your rental check is gone once you’ve paid it each month, payments on your mortgage will become a part of the wealth you’re building and the equity in your home. It’s just important to consider the property taxes and maintenance that go along with purchasing a home beforehand, as these added costs might end up making for a poor investment if they’re too costly.

Saving Money On Insurance

You may have heard many different things about the percentage your down payment should be, but because you will have to pay mortgage default insurance if you put less than 20% down, it can be an added boon to borrow the additional funds needed. While borrowing the money can be great in terms of lowering your monthly payment and making your home less costly in the end, it can also cause financial strain for you since you’ll have to pay back the funds over time.

Testing Your Relationships

It goes without saying that money can often times get between people, and when it comes to borrowing a significant sum of money from family or friends, this can improve your relationship or even cause a rift. While you may be willing to take this risk if you have no concerns about paying those who have lent you money back, if something arises and you’re unable to give back the funds, this can create issues that may be more problematic than renting a little longer.

Many people consider borrowing the money for their down payment in order to come up with the 20%, but it’s important to consider what borrowing this money can mean for your financial future and your personal relationships. If you’re currently looking into a new home, you may want to contact one of our mortgage professionals for more information.

10

Aug

By support

Home Mortgage Tips

Can You Get a Mortgage after a Chapter 7 Bankruptcy Discharge? Yes – But You’ll Have to Wait

Can You Get a Mortgage after a Chapter 7 Bankruptcy Discharge? Yes - But You'll Have to Wait There was a time when it was possible to acquire a mortgage shortly after filing for Chapter 7 bankruptcy, but with the shifts in the financial sector, the timeline on such a mortgage approval has changed in recent years. If you’re currently undergoing a Chapter 7 bankruptcy and are wondering how this will impact home ownership, here are the basics on this type of bankruptcy and what it may mean for you.

What Is Chapter 7?

While a Chapter 13 bankruptcy is the kind of financial situation that requires debt repayment, Chapter 7 is different in that it involves the liquidation of an individual’s personal assets to pay back the debt that is owed. A trustee will be designated to take care of the bankruptcy process, but a Chapter 7 bankruptcy will remain on your credit report for 10 years and have a negative impact on your credit score, which can mean increased interest rates on a mortgage down the road.

Re-Building Your Credit Score

The most important step to obtaining a mortgage following a Chapter 7 bankruptcy is keeping on top of your credit. Because your credit score will be lowered and bankruptcy will remain on your report for a long time, paying all of your bills on time in full and ensuring every aspect of your financial health is in check is of primary importance. Since most lenders will not even consider your application if you’re delinquent with payments, impeccable form is necessary in this case.

The Timeline On A Mortgage

According to the Federal Housing Administration (FHA), anyone applying for a mortgage must wait a minimum of two years after the discharge date of their Chapter 7 bankruptcy, which is the date they are cleared of obligation to their debt. While this is good news for those who want to apply for a mortgage in the near future, it’s important that a good credit history is developed and all FHA requirements are met to ensure approval.

Filing for Chapter 7 bankruptcy can be a hard financial pill to swallow, but by keeping your credit history in check for the duration of the 2-year period, you can be well on your way to a mortgage approval. If you’re planning on being on the market for a home in the near future, contact your trusted mortgage professional for more information about opportunities in your community.