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Qualifying – FAQ

For information about housing discrimination, call the U.S. Department of Justice at (202) 514-2000, 950 Pennsylvania Ave., NW DC 20530 or your local U.S. Department of Housing and Urban Development office. For detailed information, the booklet, "Your Loan is Denied, Defending Yourself Against Mortgage Lending Discrimination," is available from the Center for Investigative Reporting, 500 Howard Street, Suite 206, San Francisco, CA 94105-3008 or call (415) 543-1200. For information on consumer credit [...]

By | February 16th, 2012|FAQ, Mortgage|0 Comments

Home Loan Options – FAQ

For information on how to find the best home loan, check out this booklet: * "How to Shop for a Mortgage," by the Mortgage Bankers Association of America, 1125 15th St., N.W., Washington, DC 20005; call (202) 861-6500. For information on mortgages, check out the following sources for information: * American Bankers Association; (202) 663-5000. * Mortgage Bankers Association of America, 1125 15th St., N.W., Washington, DC 20005; (202) 861-6500. [...]

By | February 16th, 2012|FAQ, Mortgage|0 Comments

Alternative Loans – FAQ

What are the risks of "b" and "c" loans? The major risk is the cost of the loan. Desperate home buyers who are not selective when seeking an "A-," "B," "C" or "D" loan may find themselves locked into long-term loans with outrageous fees and interest rates. "Watch out how costly they are," said Jon Riccardi, a mortgage broker with MPR Financial in Albany, Calif. "Some of the quotes are a little difficult to quote." [...]

By | February 16th, 2012|FAQ, Mortgage|0 Comments

Low Down Home Loans – FAQ

A host of private lenders offer low-down-payment loans. In addition, there are government programs to help cash-strapped buyers. The U.S. Department of Housing and Urban Development offers a variety of programs through the Federal Housing Administration that require approximately 4 to 5 percent cash down. Loan limits vary depending on the county where the property is located. Fannie Mae's Community Home Buyers program allows people to buy with just 3 percent down. For details, [...]

By | February 16th, 2012|FAQ, Mortgage|0 Comments

Lock-Ins – FAQ

Locking in a mortgage rate with a lender is one way to ensure that same rate still will be available when you need it. Lock-ins make sense when borrowers expect rates to rise during the next 30 to 60 days, which is the usual length of time lock-ins are available. A lock-in given at the time of application is useful because it may take the lender several weeks or longer to prepare a loan [...]

By | February 16th, 2012|FAQ, Mortgage|0 Comments

Federal Housing Administration (FHA) Loans – FAQ

The U.S. Department of Housing and Urban Development offers a variety of loan insurance programs through the Federal Housing Administration which require approximately 3 to 5 percent cash down. FHA loan limits vary depending on the county where the property is located. FHA loans administered by HUD are originated by private lenders. For more information, contact lenders who offer FHA loans or a regional HUD office. Resources: * "FHA Forms, Booklets and Publications," U.S. [...]

By | February 15th, 2012|FAQ, Mortgage|0 Comments

Veterans Administration (VA) Loans – FAQ

Veterans Administration loans, which are available to veterans and military personnel, are attractive because the buyer is not required to make a down payment. The maximum loan amount the U.S. Department of Veterans Affairs will insure varies by region. There is no restriction on the purchase price as long as you have the cash to make up the difference between the loan amount and the purchase price. For the nearest regional office of the [...]

By | February 15th, 2012|FAQ, Mortgage|0 Comments

Mortgage Prepayment – FAQ

Some people set on paying off their home loan early and reducing interest charges opt for a biweekly mortgage. Monthly payments are divided in half, payable every two weeks. Because there are 52 weeks in a year, the program results in 26 half-payments, or the equivalent of 13 monthly payments per year instead of 12. Using the biweekly payment system, a homeowner with a $70,000, 30-year biweekly mortgage at 10 percent interest could save [...]

By | February 15th, 2012|FAQ, Mortgage|0 Comments

Private Mortgage Insurance (PMI) – FAQ

Private mortgage insurance, or PMI, insures the lender against a default. It is required when the borrower is making a cash down payment of less than 20 percent of the purchase price. PMI costs vary from one mortgage insurance firm to another, but premiums usually run about 0.50 percent of the loan amount for the first year of the loan. Most PMI premiums are a bit lower for subsequent years. The first year's mortgage [...]

By | February 15th, 2012|FAQ, Mortgage|0 Comments

Low Cost Loans – FAQ

In many states,real estate regulatory agencies are cracking down on such advertising. The very term, "no-cost" loan, is misleading because borrowers are actually paying a higher interest rate in exchange for not having to pay fees or closing costs up front when the loan is secured. A "no-points" loan is one for which the lender does not charge points (one point is equal to 1 percent of the loan amount). But there are other [...]

By | February 15th, 2012|FAQ, Mortgage|0 Comments